Misonix (MSON) 10-K 24 Aug 17 2017 FY Annual report Financial data

Document and Entity Information

Document and Entity Information - USD ($)	12 Months Ended
	Jun. 30, 2017	Aug. 24, 2017	Dec. 31, 2016
Document And Entity Information
Entity Registrant Name	MISONIX INC
Entity Central Index Key	880,432
Document Type	10-K
Trading Symbol	MSON
Document Period End Date	Jun. 30, 2017
Amendment Flag	false
Current Fiscal Year End Date	--06-30
Entity a Well-known Seasoned Issuer	No
Entity a Voluntary Filer	No
Entity's Reporting Status Current	Yes
Entity Filer Category	Accelerated Filer
Entity Public Float			$ 89,360,935
Entity Common Stock, Shares Outstanding		9,357,166
Document Fiscal Period Focus	FY
Document Fiscal Year Focus	2,017

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($)	Jun. 30, 2017	Jun. 30, 2016
Current assets:
Cash and cash equivalents	$ 11,557,071	$ 9,049,327
Accounts receivable, less allowance for doubtful accounts of $96,868 and $96,868, respectively	5,133,389	3,869,427
Inventories, net	4,992,434	5,822,935
Prepaid expenses and other current assets	918,899	530,564
Total current assets	22,601,793	19,272,253
Property, plant and equipment, net of accumulated amortization and depreciation of $7,794,580 and $6,976,282, respectively	3,730,203	2,492,815
Patents, net of accumulated amortization of $995,568 and $885,394, respectively	719,136	604,916
Goodwill	1,701,094	1,701,094
Intangible and other assets	282,876	266,603
Deferred income tax	4,334,547	3,394,690
Total assets	33,369,649	27,732,371
Current liabilities:
Accounts payable	1,861,228	1,402,797
Accrued expenses and other current liabilities	3,346,138	1,887,337
Total current liabilities	5,207,366	3,290,134
Deferred lease liability	9,354	9,262
Deferred income	13,087	31,685
Total liabilities	5,229,807	3,331,081
Commitments and contingencies (Note 7)
Shareholders' equity:
Common stock, $.01 par value-shares authorized 20,000,000; 9,357,166 and 7,948,234 shares issued and 9,357,166 and 7,809,385 outstanding in each period, respectively	93,572	79,482
Additional paid-in capital	36,808,810	32,502,521
Accumulated deficit	(8,762,540)	(7,081,361)
Treasury stock, at cost, 0 and 138,849 shares, respectively		(1,099,352)
Total shareholders' equity	28,139,842	24,401,290
Total liabilities and shareholders' equity	$ 33,369,649	$ 27,732,371

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parenthetical) - USD ($)	Jun. 30, 2017	Jun. 30, 2016
Statement of Financial Position [Abstract]
Allowance for doubtful accounts	$ 96,868	$ 96,868
Accumulated amortization and depreciation	7,794,580	6,976,282
Patents, Accumulated amortization	$ 995,568	$ 885,394
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, authorized	20,000,000	20,000,000
Common stock, issued	9,357,166	7,948,234
Common stock, outstanding	9,357,166	7,809,385
Treasury stock	0	138,849

Consolidated Statements of Oper

Consolidated Statements of Operations - USD ($)	12 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2015
Income Statement [Abstract]
Net sales	$ 27,269,963	$ 23,113,194	$ 22,204,578
Cost of goods sold	8,217,439	7,640,626	7,280,276
Gross profit	19,052,524	15,472,568	14,924,302
Operating expenses:
Selling expenses	14,220,907	12,632,961	9,062,695
General and administrative expenses	9,595,206	6,829,516	5,983,623
Research and development expenses	1,837,497	1,839,479	1,592,923
Total operating expenses	25,653,610	21,301,956	16,639,241
Loss from operations	(6,601,086)	(5,829,388)	(1,714,939)
Other income (expense):
Interest income	75	81	75
Royalty income and license fees	3,771,610	3,948,757	4,256,321
Other	(36,211)	(21,878)	(22,033)
Total other income	3,735,474	3,926,960	4,234,363
(Loss)/income from continuing operations before income taxes	(2,865,612)	(1,902,428)	2,519,424
Income tax (benefit)/expense	(1,022,808)	(573,351)	(2,784,632)
Net (loss)/income from continuing operations	(1,842,804)	(1,329,077)	5,304,056
Discontinued operations:
Income from discontinued operations net of tax of $0, $0 and $1,127, respectively			17,115
Gain from sale of discontinued operations net of tax of $88,375, $93,069 and $0, respectively	161,625	156,931	250,000
Net income from discontinued operations	161,625	156,931	267,115
Net (loss)/income	$ (1,681,179)	$ (1,172,146)	$ 5,571,171
Net (loss)/income per share from continuing operations - Basic	$ (0.22)	$ (0.17)	$ 0.7
Net income per share from discontinued operations - Basic	0.02	0.02	0.04
Net (loss)/income per share - Basic (in dollars per share)	(0.20)	(0.15)	0.74
Net (loss)/income per share from continuing operations - Diluted (in dollars per share)	(0.22)	(0.17)	0.66
Net income per share from discontinued operations - Diluted (in dollars per share)	0.02	0.02	0.03
Net (loss)/income per share - Diluted (in dollars per share)	$ (0.20)	$ (0.15)	$ 0.69
Weighted average shares - Basic (in shares)	8,398,778	7,776,949	7,580,450
Weighted average shares - Diluted (in shares)	8,398,778	7,776,949	8,094,119

Consolidated Statements of Ope5

Consolidated Statements of Operations (Parenthetical) - USD ($)	12 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2015
Income Statement [Abstract]
Income from discontinued operations tax	$ 0	$ 0	$ 1,127
Gain from sale of discontinued operations tax	$ 88,375	$ 93,069	$ 0

Consolidated Statements of Shar

Consolidated Statements of Shareholders' Equity - USD ($)	Common Stock [Member]	Treasury Stock [Member]	Additional paid-in capital [Member]	Accumulated deficit [Member]	Total
Balance at beginning at Jun. 30, 2014	$ 74,121	$ (410,993)	$ 28,169,622	$ (11,480,386)	$ 16,352,364
Balance at beginning (in shares) at Jun. 30, 2014	7,412,096	(77,560)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net (loss) income				5,571,171	5,571,171
Proceeds from exercise of stock options	$ 4,570	$ (535,267)	1,254,257		$ 723,560
Proceeds from exercise of stock options (in shares)	456,999	(47,422)			579,463
Stock-based compensation			1,107,250		$ 1,107,250
Balance at ending at Jun. 30, 2015	$ 78,691	$ (946,260)	30,531,129	(5,909,215)	23,754,345
Balance at ending (in shares) at Jun. 30, 2015	7,869,095	(124,982)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net (loss) income				(1,172,146)	(1,172,146)
Proceeds from exercise of stock options	$ 791	$ (153,092)	341,748		$ 189,447
Proceeds from exercise of stock options (in shares)	79,139	(13,867)			82,737
Stock-based compensation			1,629,644		$ 1,629,644
Balance at ending at Jun. 30, 2016	$ 79,482	$ (1,099,352)	32,502,521	(7,081,361)	24,401,290
Balance at ending (in shares) at Jun. 30, 2016	7,948,234	(138,849)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net (loss) income				(1,681,179)	(1,681,179)
Sale of common stock	$ 7,615		3,992,385		4,000,000
Sale of common stock ( in shares)	761,469
Issuance of restricted stock	$ 4,000		(4,000)
Issuance of restricted stock (in shares)	400,000
Proceeds from exercise of stock options	$ 2,475	$ 1,099,352	(768,235)		$ 333,592
Proceeds from exercise of stock options (in shares)	247,463	138,849			527,663
Stock-based compensation			1,086,139		$ 1,086,139
Balance at ending at Jun. 30, 2017	$ 93,572		$ 36,808,810	$ (8,762,540)	$ 28,139,842
Balance at ending (in shares) at Jun. 30, 2017	9,357,166

Consolidated Statements of Sha7

Consolidated Statements of Shareholders' Equity (Parenthetical) - $ / shares	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2015
Statement of Stockholders' Equity [Abstract]
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01	$ 0.01

Consolidated Statements of Cash

Consolidated Statements of Cash Flows - USD ($)	12 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2015
Operating activities
Net (loss)/income from continuing operations	$ (1,842,804)	$ (1,329,077)	$ 5,304,056
Adjustments to reconcile net (loss)/income to net cash provided by (used in) continuing operating activities:
Depreciation and amortization and other non-cash items	1,066,844	1,651,972	1,439,972
Bad debt expense		(30,000)	(10,000)
Deferred income tax benefit	(939,857)	(502,262)	(2,892,428)
Stock-based compensation	1,086,139	1,629,644	1,107,250
Deferred income	(18,598)	(8,966)	(46,052)
Deferred lease liability	92	9,262	(16,614)
Changes in operating assets and liabilities:
Accounts receivable	(1,263,962)	641,820	(712,095)
Inventories	(873,136)	(2,823,304)	(1,259,986)
Prepaid expenses and other assets	(404,608)	(186,211)	(129,828)
Accounts payable, accrued expenses	1,917,232	630,882	(412,936)
Net cash (used in)/provided by continuing operations	(1,272,658)	(316,240)	2,371,339
Investing activities
Acquisition of property, plant and equipment	(490,421)	(471,829)	(345,312)
Payments for assets acquisition			(328,136)
Additional patents	(224,394)	(132,731)	(104,755)
Net cash used in investing activities from continuing operations	(714,815)	(604,560)	(778,203)
Financing activities
Proceeds from sale of common stock	4,000,000
Proceeds from exercise of stock options	333,592	189,447	723,560
Net cash provided by financing activities from continuing operations	4,333,592	189,447	723,560
Cash flows from discontinued operations
Net cash provided by operating activities			17,115
Net cash provided by investing activities	161,625	156,931	250,000
Net cash provided by discontinued operations	161,625	156,931	267,115
Net (decrease)/increase in cash and cash equivalents	2,507,744	(574,422)	2,583,811
Cash and cash equivalents at beginning of period	9,049,327	9,623,749	7,039,938
Cash and cash equivalents at end of period	11,557,071	9,049,327	9,623,749
Cash paid for:
Income taxes	$ 10,179	$ 140,931	$ 73,568

Basis of Presentation, Organiza

Basis of Presentation, Organization and Business and Summary of Significant Accounting Policies	12 Months Ended
	Jun. 30, 2017
Accounting Policies [Abstract]
Basis of Presentation, Organization and Business and Summary of Significant Accounting Policies	1. Basis of Presentation, Organization and Business and Summary of Significant Accounting Policies Basis of Presentation These consolidated financial statements of Misonix, Inc. (“Misonix” or the “Company”) include the accounts of Misonix and its 100% owned subsidiaries. All significant intercompany balances and transactions have been eliminated. Reclassifications Certain historical expenses on the Statement of Operations have been reclassified to be consistent with the current year presentation. Historically, the Company had recorded stock compensation expense and bonus expense predominantly within general and administrative expenses. The Company has reclassified amounts to allocate certain of these costs to cost of goods sold, selling expenses and research and development expenses, which is consistent with the classification being used in 2017. This reclassification had no impact on the Company’s presentation of operating income (loss) and the gross profit impact was not material. Organization and Business Misonix designs, manufactures, develops and markets therapeutic ultrasonic devices. These products are used for precise bone sculpting, removal of soft tumors, and tissue debridement in the fields of orthopedic surgery, plastic surgery, neurosurgery, podiatry and vascular surgery. In the United States, the Company sells its products through a network of commissioned agents assisted by Company personnel. Outside of the United States, the Company sells to distributors who then resell the product to hospitals. The Company operates as one business segment. High Intensity Focused Ultrasound Technology The Company sold its rights to the high intensity focused ultrasound technology to SonaCare Medical, LLC (“SonaCare”) in May 2010. The Company may receive up to approximately $5.8 million in payment for the sale. SonaCare will pay the Company 7% of the gross revenues received from its sales of the (i) prostate product in Europe and (ii) kidney and liver products worldwide, until the Company has received payments of $3 million, and thereafter 5% of the gross revenues, up to an aggregate payment of $5.8 million, all subject to a minimum annual royalty of $250,000. Cumulative payments through June 30, 2017 were $1,504,788. Cash and Cash Equivalents The Company considers all highly liquid debt instruments purchased with a maturity of three months or less to be cash equivalents. All of the Company’s cash is maintained in bank accounts and accordingly it does not have cash equivalents at June 30, 2017. The Company’s cash balance at June 30, 2017 was $11,557,071. The Company maintains cash balances at various financial institutions. At June 30, 2017, these financial institutions held cash that was approximately $11,325,285in excess of amounts insured by the Federal Deposit Insurance Corporation and other government agencies. Major Customers and Concentration of Credit Risk Included in sales from continuing operations are sales to Cicel of $46,722, $1,557,132 and $2,974,086, for the fiscal years ended June 30, 2017, 2016 and 2015, respectively. There were no accounts receivable from Cicel at June 30, 2017 and 2016. The Company terminated its agreement with Cicel in the first quarter of fiscal 2017. Total royalties from Medtronic Minimally Invasive Therapies (“MMIT”) related to their sales of the Company’s ultrasonic cutting and sculpting products, which use high frequency sound waves to coagulate and divide tissue for both open and laparoscopic surgery, were $3,764,000 , $3,903,000 and $4,162,000 for the fiscal years ended June 30, 2017, 2016 and 2015, respectively. Accounts receivable from MMIT royalties were approximately $925,000 and $973,000 at June 30, 2017 and 2016, respectively. The license agreement with MMIT expired in August 2017. At June 30, 2017 and 2016, the Company’s accounts receivable with customers outside the United States were approximately $860,000 and $768,000, respectively, none of which is over 90 days. Use of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States requires management to make estimates and judgments that affect the reported amount of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Significant estimates and assumptions are used for but not limited to establishing the allowance for doubtful accounts, valuation of inventory, depreciation, asset impairment evaluations and establishing deferred tax assets and related valuation allowances, and stock-based compensation. Actual results could differ from those estimates. Accounts Receivable Accounts receivable, principally trade, are generally due within 30 to 90 days and are stated at amounts due from customers, net of an allowance for doubtful accounts. The Company performs ongoing credit evaluations and adjusts credit limits based upon payment history and the customer‘s current credit worthiness, as determined by a review of their current credit information. The Company continuously monitors aging reports, collections and payments from customers and maintains a provision for estimated credit losses based upon historical experience and any specific customer collection issues that have been identified. While such credit losses have historically been within expectations and the provisions established, the Company cannot guarantee that the same credit loss rates will be experienced in the future. The Company writes off accounts receivable when they become uncollectible. Inventories Inventories are stated at the lower of cost (first-in, first-out) or market and consist of raw materials, work-in process and finished goods and include purchased materials, direct labor and manufacturing overhead. Management evaluates the need to record adjustments to write down inventory to the lower of cost or market on a quarterly basis. The Company’s policy is to assess the valuation of all inventories, including raw materials, work-in-process and finished goods and it writes down its inventory for estimated obsolescence based upon the age of inventory and assumptions about future demand and usage. Inventory items used for demonstration purposes, rentals or on consignment are classified as property, plant and equipment. Property, Plant and Equipment Property, plant and equipment are recorded at cost. Minor replacements and maintenance and repair expenses are charged to expense as incurred. Depreciation of property and equipment is provided using the straight-line method over estimated useful lives ranging from 3 to 5 years. Leasehold improvements are amortized over the life of the lease or the useful life of the related asset, whichever is shorter. The Company‘s policy is to periodically evaluate the appropriateness of the lives assigned to property, plant and equipment and make adjustments if necessary. Inventory items included in property, plant and equipment are depreciated using the straight line method over estimated useful lives of 3 to 5 years. Depreciation of BoneScapel and Sonic OneOR generators which are consigned to customers are depreciated over a 5 year period, and depreciation is charged to selling expenses. See Note 4. Revenue Recognition The Company records revenue upon shipment for products shipped F.O.B. shipping point. Products shipped F.O.B. destination points are recorded as revenue when received at the point of destination. Shipments under agreements with distributors are not subject to return, and payment for these shipments is not contingent on sales by the distributor. Accordingly, the Company recognizes revenue on shipments to distributors in the same manner as with other customers. Service contracts and royalty income are recognized when earned. The Company generally warrantees its product for a 12 month period, and accordingly records a related warranty reserve. Historical warranty costs have not been significant. The Company presents taxes collected from customers and remitted to governmental authorities in the consolidated statements of operations on a net basis. Long-Lived Assets The carrying values of intangible and other long-lived assets, excluding goodwill, are periodically reviewed to determine if any impairment indicators are present. If it is determined that such indicators are present and the review indicates that the assets will not be fully recoverable, based on undiscounted estimated cash flows over the remaining amortization and depreciation period, their carrying values are reduced to estimated fair value. Impairment indicators include, among other conditions, cash flow deficits, an historic or anticipated decline in revenue or operating profit, adverse legal or regulatory developments, accumulation of costs significantly in excess of amounts originally expected to acquire the asset and a material decrease in the fair value of some or all of the assets. Assets are grouped at the lowest levels for which there are identifiable cash flows that are largely independent of the cash flows generated by other asset groups. No such impairment was deemed to exist in fiscal 2017 and 2016. Goodwill Goodwill is not amortized. We review goodwill for impairment annually and whenever events or changes indicate that the carrying value of an asset may not be recoverable. These events or circumstances could include a significant change in the business climate, legal factors, operating performance indicators, competition, or sale or disposition of significant assets or products. Application of this impairment test requires significant judgments, including estimation of cash flows, which is dependent on internal forecasts, estimation of the long term rate of growth for the Company’s business, the useful lives over which cash flows will occur and determination of the Company’s weighted average cost of capital. The Company primarily utilizes the Company’s market capitalization and a discontinued cash flow model in determining the fair value which consists of Level 3 inputs. Changes in the projected cash flows and discount rate estimates and assumptions underlying the valuation of goodwill could materially affect the determination of fair value in acquisition or during subsequent periods when tested for impairment. The Company completed its annual goodwill impairment tests for fiscal 2017 and 2016 as of June 30th each year. No impairment of goodwill was deemed to exist in fiscal 2017, 2016 and 2015. Patents The cost of acquiring or processing patents is capitalized at cost. This amount is being amortized using the straight-line method over the estimated useful lives of the underlying assets, which is approximately 17 years. Patents totaled $719,136 and $604,916 at June 30, 2017 and 2016, respectively. Amortization expense for the years ended June 30, 2017, 2016 and 2015 was approximately $110,000, $94,000 and $150,000, respectively. The following is a schedule of estimated future patent amortization expense as of June 30, 2017 during the following fiscal years: 2018 $ 116,375 2019 105,211 2020 81,782 2021 75,611 2022 49,642 Thereafter 290,515 $ 719,136 Income Taxes Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases and operating loss and tax credit carry forwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income in those periods in which temporary differences become deductible. Should management determine that it is more likely than not that some portion of the deferred tax asset will not be realized, a valuation allowance against the deferred tax asset would be established in the period such determination was made. The Company recognizes a tax benefit from an uncertain tax position only if it is more likely than not that the tax position will be sustained on examination by the taxing authorities based on the technical merits of the position. The tax benefits recognized in the financial statements from such position are measured based on the largest benefit that has a greater than fifty percent likelihood of being realized upon ultimate settlement. The Company classifies income tax related interest and penalties as a component of income tax expense. Income (Loss) Per Share Basic income (loss) per common share (“Basic EPS”) is computed by dividing income (loss) by the weighted average number of common shares outstanding using the treasury stock method. Diluted income (loss) per common share (“Diluted EPS”) is computed by dividing income (loss) by the weighted average number of common shares and the dilutive common share equivalents and convertible securities then outstanding. The number of weighted average common shares used in the calculation of Basic EPS and Diluted EPS were as follows: For the years ended 2017 2016 2015 Basic shares 8,398,778 7,776,949 7,580,450 Dilutive effect of stock options — — 513,669 Diluted shares 8,398,778 7,776,949 8,094,119 Excluded from the calculation of Diluted EPS are options to purchase 257,000 shares of common stock for the twelve months ended June 30, 2015. The excluded shares are any shares in which the average stock price for the year ended June 30 is less than the exercise price of the outstanding options in the period in which the Company has net income. Diluted EPS for the twelve months ended June 30, 2017 and 2016 presented is the same as Basic EPS, as the inclusion of the effect of common share equivalents then outstanding would be anti-dilutive. For this reason, excluded from the calculations of diluted EPS for the twelve months ended June 30, 2017 and 2016 are outstanding options to purchase 1,191,236 and 1,790,224 shares, respectively. Also excluded from the calculation of earnings per share are the 400,000 restricted stock awards which we issued in December 2016 as none of the shares were vested as of June 30, 2017. Research and Development All research and development expenses are expensed as incurred and are included in operating expenses. Advertising Expense The cost of advertising is expensed in the period the advertising first takes place. The Company incurred approximately $76,000, $386,000 and $155,000 in advertising costs during the fiscal years ended June 30, 2017, 2016 and 2015, respectively. Advertising costs are reported in selling expenses on the statement of operations. Depreciation Expense for Consigned Inventory The Company typically provides to its United States customers, on a consignment basis, the generators used to power its BoneScapel and SonicOne products. Title to these generators remains at all times with the Company. When these generators are deployed in the field at customer locations, the Company depreciates these units over a five year period and charges the depreciation to selling expenses. Depreciation expense relating to consigned generators for the three years ended June 30, 2017 was $425,000, $416,000 and $232,000, respectively. Prior to fiscal 2017, consigned units were depreciated over a three year period. The impact of this change in accounting estimate was a reduction in expense of approximately $283,000 for the year ended June 30, 2017, compared to what the expense would have been without this change. Shipping and Handling Shipping and handling fees for the fiscal years ended June 30, 2017, 2016 and 2015 were approximately $119,000, $109,000 and $62,000 respectively, and are reported as a component of net sales. Shipping and handling costs for the fiscal years ended June 30, 2017, 2016 and 2015 were approximately $337,000, $142,000 and $87,000, respectively, and are reported as a component of selling expenses. Stock-Based Compensation The Company measures compensation cost for all share based payments at fair value and recognizes the cost over the vesting period. The Company uses the Black-Scholes method to value awards and utilizes the straight line amortization method to recognize the expense associated with the awards with graded vesting terms. Restricted Stock Awards The Company measures compensation cost for all restricted stock awards at fair value and recognizes the cost over the vesting period. For awards that have market conditions, the Company uses the Monte Carlo valuation method to value awards and utilizes the straight line amortization method to recognize the expense associated with the awards with graded vesting terms. Where awards have performance conditions, the Company will determine the probability of achieving those conditions and will record compensation expense when it is probable that the conditions will be met. Recent Accounting Pronouncements In May 2014, the Financial Accounting Standards Board (the “FASB”) issued guidance on revenue from contracts with customers. The underlying principle is that an entity will recognize revenue to depict the transfer of goods or services to customers at an amount that the entity expects to be entitled to in exchange for those goods or services. The guidance provides a five-step analysis of transactions to determine when and how revenue is recognized. Other major provisions include capitalization of certain contract costs, consideration of time value of money in the transaction price, and allowing estimates of variable consideration to be recognized before contingencies are resolved, in certain circumstances. The guidance also requires enhanced disclosures regarding the nature, amount, timing and uncertainty of revenue and cash flows arising from an entity‘s contracts with customers. This guidance permits the use of either the retrospective or cumulative effect transition method and is effective for the Company beginning in 2019; early adoption is permitted beginning in 2018. We have not yet selected a transition method and are currently evaluating the impact of the guidance on the Company‘s financial condition, results of operations and related disclosures. The FASB has also issued the following additional guidance clarifying certain issues on revenue from contracts with customers: Revenue from Contracts with Customers - Narrow-Scope Improvements and Practical Expedients and Revenue from Contracts with Customers - Identifying Performance Obligations and Licensing. The Company is currently in the early stages of evaluating this guidance to determine the impact it will have on its financial statements. In August 2014, the FASB issued guidance on management‘s responsibility in evaluating whether there is substantial doubt about a company‘s ability to continue as a going concern and related footnote disclosures. Management will be required to evaluate, at each reporting period, whether there are conditions or events that raise substantial doubt about a company‘s ability to continue as a going concern within one year from the date the financial statements are issued. This guidance is effective prospectively for annual and interim reporting periods beginning in 2017; implementation of this guidance did not have a material effect on the Company’s financial condition or results of operations. In November 2015, the FASB issued ASU 2015-17 “Balance Sheet Classification of Deferred Taxes (Topic 740)”. The amendments in this ASU require deferred tax liabilities and assets be classified as noncurrent in a classified statement of financial position. The amendments eliminate the guidance in Topic 740 that requires an entity to separate deferred tax liabilities and assets into a current amount and a noncurrent amount in a classified statement of financial position. The Company adopted ASU 2015-17 as of March 31, 2016 on a prospective basis in order to simplify the balance sheet classification of deferred taxes. In February 2016, the FASB issued guidance on lease accounting requiring lessees to recognize a right-of-use asset and a lease liability for long-term leases. The liability will be equal to the present value of lease payments. This guidance must be applied using a modified retrospective transition approach to all annual and interim periods presented and is effective for the Company beginning in fiscal 2019. The Company is currently in the early stages of evaluating this guidance to determine the impact it will have on its financial statements. In March 2016, the FASB issued guidance on simplifying several aspects of accounting for share-based payment award transactions, including income tax consequences, classification of awards as either equity or liabilities, and classification on the statement of cash flows. This guidance requires a mix of prospective, modified retrospective, and retrospective transition to all annual and interim periods presented and is effective for the Company beginning in fiscal 2018. The Company adopted this guidance on July 1, 2017. This guidance will be adopted by the Company on July 1, 2017 and management expects this to result in an increase in the Company’s deferred tax asset of approximately $2.5 million. In August 2016, the FASB issued guidance on the Statement of Cash Flows Classification of certain cash receipts and cash payments (a consensus of the Emerging Issues Task Force). This guidance addresses the following eight specific cash flow issues: Debt prepayment or debt extinguishment costs; settlement of zero-coupon debt instruments or other debt instruments with coupon interest rates that are insignificant in relation to the effective interest rate of the borrowing; contingent consideration payments made after a business combination; proceeds from the settlement of insurance claims; proceeds from the settlement of corporate-owned life insurance policies (including bank-owned life insurance policies); distributions received from equity method investees; beneficial interests in securitization transactions; and separately identifiable cash flows and application of the predominance principle. This guidance will be effective for the Company beginning in fiscal 2019. The Company is currently in the early stages of evaluating this guidance to determine the impact it will have on its financial statements. In January 2017, the Financial Accounting Standards Board (the “FASB”) issued ASU No. 2017-04, Simplifying the Test for Goodwill Impairment In January 2017, the FASB issued ASU No. 2017-01, Business Combinations: Clarifying the Definition of a Business There are no other recently issued accounting pronouncements that are expected to have a material effect on the Company’s financial position, results of operations or cash flows.

Fair Value of Financial Instrum

Fair Value of Financial Instruments	12 Months Ended
	Jun. 30, 2017
Fair Value Disclosures [Abstract]
Fair Value of Financial Instruments	2. Fair Value of Financial Instruments We follow a three-level fair value hierarchy that prioritizes the inputs to measure fair value. This hierarchy requires entities to maximize the use of “observable inputs” and minimize the use of “unobservable inputs.” The three levels of inputs used to measure fair value are as follows: Level 1: Quoted prices (unadjusted) for identical assets or liabilities in active markets as of the measurement date. Level 2: Significant other observable inputs other than Level 1 prices such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data. Level 3: Significant unobservable inputs that reflect assumptions that market participants would use in pricing an asset or liability. At June 30, 2017 and 2016, all of our cash, trade accounts receivable and trade accounts payable were short term in nature, and their carrying amounts approximate fair value.

Inventories

Inventories	12 Months Ended
	Jun. 30, 2017
Inventory Disclosure [Abstract]
Inventories	3. Inventories Inventories are summarized as follows: June 30, June 30, 2017 2016 Raw material $ 2,409,148 $ 3,102,175 Work-in-process 741,994 854,631 Finished goods 3,267,232 3,101,234 6,418,374 7,058,040 Less valuation reserve 1,425,940 1,235,105 $ 4,992,434 $ 5,822,935

Property, Plant and Equipment

Property, Plant and Equipment	12 Months Ended
	Jun. 30, 2017
Property, Plant and Equipment [Abstract]
Property, Plant and Equipment	4. Property, Plant and Equipment Property, plant and equipment consist of the following: June 30, June 30, 2017 2016 Machinery and equipment $ 2,452,363 $ 2,128,349 Furniture and fixtures 1,406,758 1,387,883 Automobiles 22,328 22,328 Leasehold improvements 691,751 682,591 Demonstration and consignment inventory 6,951,583 5,247,946 11,524,783 9,469,097 Less: accumulated depreciation and amortization (7,794,580 ) (6,976,282 ) $ 3,730,203 $ 2,492,815 Depreciation and amortization of property, plant and equipment totaled approximately $957,000, $1,339,000 and $981,000 for the fiscal years ended June 30, 2017, 2016 and 2015, respectively.

Accrued Expenses and Other Curr

Accrued Expenses and Other Current Liabilities	12 Months Ended
	Jun. 30, 2017
Payables and Accruals [Abstract]
Accrued Expenses and Other Current Liabilities	5. Accrued Expenses and Other Current Liabilities The following summarizes accrued expenses and other current liabilities: June 30, June 30, 2017 2016 Accrued payroll, payroll taxes and vacation 715,245 648,705 Accrued bonus 343,400 300,000 Accrued commissions 751,000 433,000 Professional fees 662,537 256,130 Litigation settlement 500,000 Deferred income 27,901 20,655 Severance 10,029 — Other 336,026 228,847 $ 3,346,138 $ 1,887,337

Stock-Based Compensation Plans

Stock-Based Compensation Plans	12 Months Ended
	Jun. 30, 2017
Equity [Abstract]
Stock-Based Compensation Plans	6. Stock-Based Compensation Plans At June 30, 2017, the Company had outstanding equity-linked grants under eight stock-based compensation plans (the “Plans”), as follows: Available Initial Expired / For Plan Shares Granted Exercised Forfeited Outstanding Issuance 2001 Employee Stock Option Plan 1,000,000 1,251,261 376,368 868,955 5,938 — 2005 Employee Equity Incentive Plan 500,000 547,125 484,250 48,925 13,950 — 2005 Non Employee Director Stock Option Plan 200,000 195,000 97,500 7,500 90,000 — 2009 Employee Equity Incentive Plan 500,000 619,925 357,227 123,100 139,598 3,175 2009 Non Employee Director Stock Option Plan 200,000 195,000 48,750 33,750 112,500 38,750 2012 Employee Equity Incentive Plan 500,000 664,000 111,250 188,250 364,500 24,250 2012 Non Employee Director Stock Option Plan 200,000 180,000 — 41,250 138,750 61,250 2014 Employee Equity Incentive Plan 750,000 480,000 — 154,000 326,000 24,000 2017 Equity Incentive Plan 750,000 — — — — 750,000 Total 1,191,236 901,425 The compensation cost that has been charged against income for these plans was $1,086,139, $1,629,644 and $1,107,250 for the fiscal years ended June 30, 2017, 2016 and 2015, respectively, and is recorded in the department associated with the employee to which the grants are issued. The expense for fiscal 2017 included a charge to modify certain stock options of $81,765 and a reversal of stock compensation from prior periods due to forfeitures of unvested options of $625,202. As of June 30, 2017, there was approximately $5,612,949 of total unrecognized compensation cost related to non-vested share-based compensation arrangements to be recognized over a weighted-average period of 3.2 years, which includes $3,148,986 of unrecognized compensation expense on restricted stock awards. Shares from option exercises may be acquired by various methods. They may be acquired by (a) cash or certified check, (b) with previously acquired shares of common stock having an aggregate fair market value, on the date of exercise, equal to the aggregate exercise price of all options being exercised (provided that such shares were not acquired less than six (6) months prior to such exercise date), (c) in certain circumstances by surrendering options to acquire shares of common stock in exchange for the number of shares of common stock. Cash in the amount of $332,592 was received from the exercise of stock options for the year ended June 30, 2017. The Company received 141,351 shares of common stock as payment for options exercised during the year ended June 30, 2017. During the year ended June 30, 2017, the Company issued 280,200 treasury shares in connection with stock option exercises. Stock options typically expire 10 years from the date of grant and vest over service periods, which typically are 4 years. All options are granted at the price of the Common Stock on the NASDAQ Stock Market on the date of grant as set forth in the Plans. The fair value of each option award was estimated on the date of grant using the Black-Scholes option valuation model that uses the assumptions noted in the following table. The expected volatility represents the historical price changes of the Company’s stock over a period equal to that of the expected term of the option. The Company uses the simplified method for determining the option term. The risk-free rate was based on the U.S. Treasury yield curve in effect at the time of grant. The expected dividend yield is based upon historical and projected dividends. The Company has historically not paid dividends, and is not expected to do so in the near term. The weighted average fair value at date of grant for options granted during the fiscal years ended June 30, 2017, 2016 and 2015 was $4.46, $4.68 and $5.70 per share, respectively. The fair value was estimated based on the weighted average assumptions of: For twelve months ended June 30, 2017 2016 2015 Risk-free interest rates 1.80 % 1.71 % 1.60 % Expected option life in years 6.25 6.25 6.50 Expected stock price volatility 54.68 % 55.41 % 61.13 % Expected dividend yield 0 % 0 % 0 % A summary of option activity under the Plans as of June 30, 2017, 2016 and 2015, and changes during the years ending on those dates is presented below: Options Weighted Average Aggregate Outstanding Exercise Intrinsic Shares Price Value Outstanding as of June 30, 2014 1,663,329 3.88 $ 4,879,106 Vested and exercisable at June 30, 2014 967,056 3.81 $ 2,937,802 Granted 549,000 10.11 Exercised (579,463 ) 4.11 Forfeited (47,250 ) 7.70 Expired (28,000 ) 8.00 Outstanding as of June 30, 2015 1,557,616 5.80 $ 6,553,821 Vested and exercisable at June 30, 2015 620,256 3.19 $ 3,911,604 Granted 320,000 8.80 Exercised (82,737 ) 4.60 Forfeited (4,375 ) 9.23 Expired (280 ) 5.82 Outstanding as of June 30, 2016 1,790,224 $ 6.38 $ 1,675,072 Vested and exercisable at June 30, 2016 813,349 $ 3.82 $ 1,501,208 Granted 327,500 8.34 Exercised (527,663 ) 3.30 Forfeited (383,625 ) 8.23 Expired (15,200 ) 8.51 Outstanding as of June 30, 2017 1,191,236 $ 7.66 $ 2,748,956 Vested and exercisable at June 30, 2017 517,361 $ 6.33 $ 1,923,794 The total fair value of shares vested during the year ended June 30, 2017 was $1,213,325. The number and weighted-average grant-date fair value of non-vested stock options at the beginning of fiscal 2017 was 977,000 and $4.96, respectively. The number and weighted-average grant-date fair value of stock options which vested during fiscal 2017 was 248,625 and $4.88, respectively. The following table summarizes information about stock options outstanding and exercisable at June 30, 2017: Options Outstanding Options Exercisable Weighted Average Weighted Weighted Range of Contractual Average Average Exercise Life Exercise Exercise Prices Number (Yrs.) Price Number Price $0.85-$6.74 352,236 4.1 $ 4.09 313,861 $ 3.98 $6.75-$8.53 341,750 8.3 $ 7.23 85,000 $ 7.57 $8.54-13.89 497,250 8.4 $ 10.49 118,500 $ 11.65 1,191,236 7.1 $ 7.66 517,361 $ 6.33 Stock options are granted with exercise prices not less than the fair market value of the Company’s Common Stock, at the time of the grant, with an exercise term as determined by the compensation committee of the Company’s board of directors (the “Committee”) not to exceed 10 years. The Committee determines the vesting period for the Company’s stock options. Generally, such stock options have vesting periods of immediate to four years. Certain option awards provide for accelerated vesting upon meeting specific retirement, death or disability criteria, and upon change of control. Restricted Stock Awards On December 15, 2016, the Company issued 400,000 shares of restricted stock to its Chief Executive Officer. These awards vest over a period of up to five years, subject to meeting certain service, performance and market conditions. These awards were valued at approximately $3.4 million and compensation expense recorded for the year ended June 30, 2017 was $488,402. The awards contain a combination of vesting terms which include time vesting, performance vesting relating to revenue achievement, and market vesting related to obtaining certain levels of Company stock prices. At June 30, 2017, the Company has estimated that it is probable that the performance conditions will be met. The awards were valued using a Monte Carlo valuation model using a stock price at the date of grant of $9.60, a term of 3 to 5 years, a risk free interest rate of 1.6% to 2.1% and a volatility factor of 66.5%.

Commitments and Contingencies

Commitments and Contingencies	12 Months Ended
	Jun. 30, 2017
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	7. Commitments and Contingencies Leases The Company has entered into several non-cancellable operating leases for the rental of certain manufacturing and office space, equipment and automobiles expiring in various years through 2021. The principal building lease provides for a monthly rental of approximately $26,000. The Company also leases certain office equipment and automobiles under operating leases expiring through fiscal 2018. The following is a schedule of future minimum lease payments, by year and in the aggregate, under operating leases with initial or remaining terms of one year or more at June 30, 2017: Operating Leases 2018 353,659 2019 21,812 2020 21,812 2021 9,225 Total minimum lease payments $ 406,508 Certain of the leases provide for escalation clauses, renewal options and the payment of real estate taxes and other occupancy costs. Rent expense for all operating leases was approximately $428,000, $411,000 and $375,000 for the fiscal years ended June 30, 2017, 2016 and 2015, respectively. Purchase Commitments As of June 30, 2017, 2016, and 2015, the Company had purchase and inventory commitments totaling $2,859,718, $2,507,125 and $2,982,198, respectively. Class Action Securities Litigation On September 19, 2016, Richard Scalfani, an individual shareholder of Misonix, filed a lawsuit against the Company and its former CEO and CFO in the U.S. District Court for the Eastern District of New York, alleging violations of the federal securities laws. The complaint alleges that the Company’s stock price was artificially inflated between November 5, 2015 and September 14, 2016 as a result of alleged false and misleading statements in the Company’s securities filings concerning the Company’s business, operations, and prospects and the Company’s internal control over financial reporting. Scalfani filed the action seeking to represent a putative class of all persons (other than defendants, officers and directors of the Company, and their affiliates) who purchased publicly traded Misonix securities between November 5, 2015 and September 14, 2016. Scalfani seeks an unspecified amount of damages for himself and for the putative class under the federal securities laws. On March 24, 2017, the Court appointed Scalfani and another individual Misonix shareholder, Tracey Angiuoli, as lead plaintiffs for purposes of pursuing the action on behalf of the putative class. The lead plaintiffs, on behalf of the putative class, and the Company have reached a settlement in principle under which the Company would pay $500,000 to resolve the matter. That settlement is subject to approval by the district court. The Company believes it has various legal and factual defenses to the allegations in the complaint, and intends to vigorously defend the action if the settlement is not approved and finalized. The Company has accrued a liability of $500,000 as of June 30, 2017. The Company believes that its exposure will be limited to its insurance company retention of $250,000. Former Chinese Distributor - FCPA For several months, with the assistance of outside counsel, the Company conducted a voluntary investigation into the business practices of the independent Chinese entity that previously distributed its products in China and the Company’s knowledge of those business practices, which may have implications under the FCPA, as well as into various internal controls issues identified during the investigation. On September 27, 2016 and September 28, 2016, the Company voluntarily contacted the SEC and the DOJ, respectively, to advise both agencies of these potential issues. The Company has provided and will continue to provide documents and other information to the SEC and the DOJ, and is cooperating fully with these agencies in their ongoing investigations of these matters. Although the Company’s investigation is complete, additional issues or facts could arise which may expand the scope or severity of the potential violations. The Company has no current information derived from the investigation or otherwise to suggest that its previously reported financial statements and results are incorrect. At this stage, the Company is unable to predict what, if any, action the DOJ or the SEC may take or what, if any, penalties or remedial measures these agencies may seek. Nor can the Company predict the impact on the Company as a result of these matters, which may include the imposition of fines, civil and criminal penalties, which are not currently estimable, as well as equitable remedies, including disgorgement of any profits earned from improper conduct and injunctive relief, limitations on the Company’s conduct, and the imposition of a compliance monitor. The DOJ and the SEC periodically have based the amount of a penalty or disgorgement in connection with an FCPA action, at least in part, on the amount of profits that a company obtained from the business in which the violations of the FCPA occurred. During its distributorship relationship with the prior Chinese distributor from 2010 through 2016, the Company generated sales of approximately $8 million from the relationship. Further, the Company may suffer other civil penalties or adverse impacts, including lawsuits by private litigants in addition to the lawsuits that already have been filed, or investigations and fines imposed by local authorities. The investigative costs to date are approximately $2.5 million, of which approximately $2.4 million was charged to general and administrative expenses during the fiscal year ended June 30, 2017. Former Chinese Distributor – Litigation On April 5, 2017, the Company’s former distributor in China, Cicel (Beijing) Science & Technology Co., Ltd., filed a lawsuit against the Company and certain officers and directors of the Company in the United States District Court for the Eastern District of New York, alleging that the Company improperly terminated its contract with the former distributor. The complaint, which seeks various remedies, including compensatory and punitive damages, specific performance and preliminary and post judgment injunctive relief, asserts various causes of action, including breach of contract, unfair competition, tortious interference with contract, fraudulent inducement, and conversion. The Company believes it has various legal and factual defenses to the allegations in the complaint, and intends to vigorously defend the action. The case is at its earliest stages; there has been no discovery and there is no trial date. Stockholder Derivative Litigation On June 6, 2017, Irving Feldbaum, an individual shareholder of Misonix, filed a lawsuit in the U.S. District Court for the Eastern District of New York. The complaint alleges claims against the Company’s board of directors, its former CEO and CFO, certain of its former directors, and the Company as a nominal defendant for alleged violations of Section 14(a) of the Securities Exchange Act of 1934 and state law claims for breach of fiduciary duty, waste of corporate assets, and unjust enrichment. The complaint alleges that the Company incurred damages as a result of alleged false and misleading statements in the Company’s securities filings concerning the Company’s business, operations, and prospects and the Company’s internal control over financial reporting. The complaint also alleges that the Company’s February 4, 2016 Proxy Statement contained false and misleading statements regarding executive compensation. The complaint seeks the recovery of damages on behalf of the Company and the implementation of changes to corporate governance procedures. On June 16, 2017, Michael Rubin, another individual shareholder of Misonix, filed a case alleging similar claims in the same district court. The cases are at their earliest stages; there has been no discovery and there is no trial date. The Company is not able either to estimate the amount of potential loss it may recognize, if any, from these claims or to identify any changes in corporate governance procedures it may undertake, if any, as a result of these claims.

Related Party Transactions

Related Party Transactions	12 Months Ended
	Jun. 30, 2017
Related Party Transactions [Abstract]
Related Party Transactions	8. Related Party Transactions Stavros G. Vizirgianakis was appointed to Misonix’s Board of Directors on May 7, 2013 and became the Company’s CEO in December 2016. Applied BioSurgical, a company formerly owned by Mr. Vizirgianakis’ father and now owned by his brother, is an independent distributor for the Company outside of the United States. Set forth below is a table showing the Company’s net sales for each of the past three fiscal years and accounts receivable at June 30 for the indicated time periods below with Applied BioSurgical: For the years ended June 30: Applied BioSurgical 2017 2016 2015 Sales $ 580,888 $ 559,787 $ 540,185 Accounts receivable $ 192,984 $ 272,421 $ 294,683 On October 25, 2016, the Company sold 761,469 shares of Common Stock in a private placement to Stavros G. Vizirgianakis, the Company’s current Chief Executive Officer, at a price per share of $5.253, representing total cash proceeds to the Company of approximately $4.0 million.

Income Taxes

Income Taxes	12 Months Ended
	Jun. 30, 2017
Income Tax Disclosure [Abstract]
Income Taxes	9. Income Taxes Open tax years related to federal and state income tax filings are for the years ended June 30, 2014, 2015, 2016 and 2017. The Company’s net operating loss carryforwards from closed years can be adjusted by the tax authorities when they are utilized in an open year. The Company files state tax returns in California, Florida, New Jersey, New York, Pennsylvania, Texas and various other states. During the current year, the Company received notification from the Internal Revenue Service of an examination for the year ended June 30, 2015. As of June 30, 2017, no significant preliminary audit findings were received by the Company and no reserves have been recorded. The Company’s foreign subsidiary, Misonix Ltd. filed tax returns in the United Kingdom. Open years related to the United Kingdom for filing are June 30, 2015, 2016 and 2017. As of June 30, 2017 and 2016, the Company has no material unrecognized tax benefits and no accrued interest and penalties. Deferred income taxes reflect the net tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. The tax effects of temporary differences that give rise to significant portions of the deferred tax assets and liabilities are presented below: June 30, 2017 2016 Deferred tax assets / (liabilities) Bad debt reserves $ 34,243 $ 34,151 Inventory reserves 676,733 624,808 Accruals and allowances 269,539 148,479 License fee and other income — 2,139 Net operating loss carryforwards 3,500,826 2,204,637 Tax credits 455,916 406,070 Stock based compensation 451,892 839,611 Deferred gain - HIFU and Labcaire 149,222 156,275 Amortization (594,306 ) (599,802 ) Depreciation 16,030 195,048 Other 3,182 12,004 4,963,277 4,023,420 Valuation Allowance (628,730 ) (628,730 ) Total net deferred tax assets $ 4,334,547 $ 3,394,690 Prior to June 30, 2014 and through March 31, 2015, the Company had a full valuation allowance recorded against deferred tax assets. As of the year ended June 30, 2015, the Company reduced the valuation allowance by $5,503,417. The change in the valuation allowance includes a $1,499,297 write-off of deferred tax assets against its corresponding valuation allowance. The write-off primarily pertains to the loss in tax benefit for net operating losses subject to limitations under federal tax law that precludes its utilization. In addition, during the fourth quarter of fiscal 2015, based on the Company’s consideration of all available positive and negative evidence including achieving cumulative profitable operating performance over the prior three years and the Company’s positive outlook for taxable income in the future, the Company reevaluated its deferred tax asset. Based upon the guidance under ASC 740, the Company concluded that it was more likely than not that the Company would realize the benefit of such deferred tax assets. The portion of the valuation allowance release attributable to income in future years resulted in the recognition of a tax benefit of $2,892,000 in continuing operations in the fourth quarter of fiscal 2015. The deferred tax asset will be realized against future income tax expense that would be payable in the absence of the net operating loss carryforward. The Company still maintains a full valuation allowance on all foreign net operating losses in the amount of $628,730. At June 30, 2017, the Company has a gross deferred tax asset of $4,963,277. Based upon the guidance under ASC 740, after consideration of all available positive and negative evidence, the Company concluded that it was more likely than not that the Company would realize the benefit of its deferred tax assets. Accordingly, the Company concluded that no valuation allowance was required at June 30, 2017. This determination was primarily based on the Company’s forecasted taxable income for future periods. The forecast of future taxable income is based on judgments which the Company has made regarding its ability to grow revenue both domestically and internationally, its ability to control costs, its ability to introduce new products into the marketplace and its ability to achieve and maintain profitability. As of June 30, 2017, the Company had approximately $10,781,000 of U.S. federal net operating loss carryforwards which expire in tax years between 2031 and 2037. Included in this amount are windfall tax benefits related to exercised stock options of approximately $2,571,000, the benefit of which will be recorded in equity when realized when the Company adopts ASU 2016-09 beginning in fiscal 2018. The Company has approximately $281,000 of research and development tax credit carryforwards which expire in the tax years between 2026 and 2037. In addition, the Company has approximately $175,000 of alternative minimum tax credit which has an indefinite carryforward period. Significant components of the income tax expense (benefit) attributable to continuing operations are as follows: Year Ended June 30, 2017 2016 2015 Current: Federal $ — $ 4,962 $ 59,686 State 5,424 17,012 44,361 Total current 5,424 21,974 104,047 Deferred: Federal (990,016 ) (558,133 ) (2,845,039 ) State (38,216 ) (37,192 ) (43,640 ) Total deferred (1,028,232 ) (595,325 ) (2,888,679 ) $ (1,022,808 ) $ (573,351 ) $ (2,784,632 ) The reconciliation of income tax expense (benefit) computed at the Federal statutory tax rates to income tax expense (benefit) is as follows: Year ended June 30, 2017 2016 2015 Tax at federal statutory rates $ (974,308 ) $ (646,828 ) $ 856,604 State income taxes, net of federal benefit (34,636 ) (13,319 ) 29,278 Research credit (50,000 ) (49,593 ) (70,401 ) Stock-based compensation 6,692 191,827 303,398 Deferred tax asset adjustments (1) — (100,939 ) — Valuation allowance — — (3,914,045 ) Travel and entertainment 34,743 35,010 21,508 Other (5,299 ) 10,491 (10,974 ) $ (1,022,808 ) $ (573,351 ) $ (2,784,632 ) (1) Relates to the correction of two errors from the fiscal 2015 tax provision in fiscal 2016 as the net impact was not material.

Employee Profit Sharing Plan

Employee Profit Sharing Plan	12 Months Ended
	Jun. 30, 2017
Employee Profit Sharing Plan
Employee Profit Sharing Plan	10. Employee Profit Sharing Plan The Company sponsors a retirement plan pursuant to Section 401(k) of the Internal Revenue Code of 1986, as amended (the “Code”) for all full-time employees. Participants may contribute a percentage of compensation not to exceed the maximum allowed under the Code, which was $24,000 if the employee was over 50 years of age for the year ended June 30, 2017. The plan provides for a matching contribution by the Company of 10% of annual eligible compensation contributed by the participants based on years of service, which amounted to $57,465, $52,145 and $46,636 for the fiscal years ended June 30, 2017, 2016 and 2015, respectively.

Segment Reporting

Segment Reporting	12 Months Ended
	Jun. 30, 2017
Segment Reporting [Abstract]
Segment Reporting	11. Segment Reporting Operating segments are defined as components of an enterprise about which separate financial information is available that is evaluated on a regular basis by the chief operating decision-maker (“CODM”) in deciding how to allocate resources to an individual segment and in assessing performance of the segment. The Company has concluded that its Chief Executive Officer is the CODM as he is the ultimate decision maker for key operating decisions, determining the allocation of resources and assessing the financial performance of the Company. These decisions, allocations and assessments are performed by the CODM using consolidated financial information. Consolidated financial information is utilized by the CODM as the Company’s current product offering primarily consists of minimally invasive therapeutic ultrasonic medical devices. The Company’s products are relatively consistent and manufacturing is centralized and consistent across product offerings. Based on these factors, key operating decisions and resource allocations are made by the CODM using consolidated financial data and as such the Company has concluded that it operates as one segment. Worldwide revenue for the Company’s products is categorized as follows: For the Years Ended June 30, 2017 2016 2015 Total Consumables $ 20,328,676 $ 16,091,651 $ 12,833,377 Equipment 6,941,287 7,021,543 9,371,201 Total $ 27,269,963 $ 23,113,194 $ 22,204,578 Domestic: Consumables $ 14,866,772 $ 11,277,449 $ 8,449,215 Equipment 1,593,999 1,809,357 2,348,705 Total $ 16,460,771 $ 13,086,806 $ 10,797,920 International: Consumables $ 5,461,904 $ 4,814,202 $ 4,384,162 Equipment 5,347,288 5,212,186 7,022,496 Total $ 10,809,192 $ 10,026,388 $ 11,406,658 Substantially all of the Company’s long-lived assets are located in the United States.

Quarterly Results (unaudited)

Quarterly Results (unaudited)	12 Months Ended
	Jun. 30, 2017
Quarterly Financial Information Disclosure [Abstract]
Quarterly Results (unaudited)	12. Quarterly Results (unaudited) Fiscal 2017 Q1 Q2 Q3 Q4 Year Net sales $ 6,171,625 $ 6,030,380 $ 7,177,763 $ 7,890,195 $ 27,269,963 Cost of goods sold 1,912,007 1,818,672 2,112,099 2,374,661 8,217,439 Gross profit 4,259,618 4,211,708 5,065,664 5,515,534 19,052,524 Operating expenses: Selling expenses 3,325,687 3,271,134 3,587,859 4,036,227 14,220,907 General and administrative expenses 1,931,821 2,087,419 2,484,962 3,091,004 9,595,206 Research and development expenses 492,084 440,364 465,863 439,186 1,837,497 Total operating expenses 5,749,592 5,798,917 6,538,684 7,566,417 25,653,610 Loss from operations (1,489,974 ) (1,587,209 ) (1,473,020 ) (2,050,883 ) (6,601,086 ) Other income/(expense): Interest income 19 19 18 19 75 Royalty income and license fees 944,068 949,048 953,235 925,259 3,771,610 Other (1,996 ) (6,640 ) (6,940 ) (20,635 ) (36,211 ) Total other income 942,091 942,427 946,313 904,643 3,735,474 (Loss) from continuing operations before income taxes (547,883 ) (644,782 ) (526,707 ) (1,146,240 ) (2,865,612 ) Income tax (benefit) (26,000 ) (30,000 ) (219,000 ) (747,808 ) (1,022,808 ) Net (loss) from continuing operations $ (521,883 ) $ (614,782 ) $ (307,707 ) $ (398,432 ) $ (1,842,804 ) Discontinued operations: Net income (loss) from discontinued operations net of income tax expense of $0,$0, $0 and $88,375, respectively 161,861 (236 ) 161,625 Net income from discontinued operations — — 161,861 (236 ) 161,625 Net (loss) $ (521,883 ) $ (614,782 ) $ (145,846 ) $ (398,668 ) $ (1,681,179 ) Net (loss) per share from continuing operations - Basic $ (0.07 ) $ (0.07 ) $ (0.04 ) $ (0.05 ) $ (0.22 ) Net income per share from discontinued operations - Basic — — 0.02 — 0.02 Net (loss) per share - Basic $ (0.07 ) $ (0.07 ) $ (0.02 ) $ (0.05 ) $ (0.20 ) Net (loss) per share from continuing operations - Diluted $ (0.07 ) $ (0.07 ) $ (0.04 ) $ (0.05 ) $ (0.22 ) Net income per share from discontinued operations - Diluted — — 0.02 — 0.02 Net (loss) per share - Diluted $ (0.07 ) $ (0.07 ) $ (0.02 ) $ (0.05 ) $ (0.20 ) Fiscal 2016 Q1 Q2 Q3 Q4 Year Net sales $ 5,250,985 $ 6,039,355 $ 5,426,147 $ 6,396,707 $ 23,113,194 Cost of goods sold 1,760,699 1,957,900 1,859,749 2,062,278 7,640,626 Gross profit 3,490,286 4,081,455 3,566,398 4,334,429 15,472,568 Operating expenses: Selling expenses 2,656,280 2,991,687 3,319,385 3,665,609 12,632,961 General and administrative expenses 1,803,920 1,675,090 1,515,559 1,834,947 6,829,516 Research and development expenses 399,994 392,068 548,278 499,139 1,839,479 Total operating expenses 4,860,194 5,058,845 5,383,222 5,999,695 21,301,956 Loss from operations (1,369,908 ) (977,390 ) (1,816,824 ) (1,665,266 ) (5,829,388 ) Other income/(expense): Interest income 19 25 19 18 81 Royalty income and license fees 988,170 1,018,362 963,025 979,200 3,948,757 Other (6,021 ) (5,413 ) (5,464 ) (4,980 ) (21,878 ) Total other income 982,168 1,012,974 957,580 974,238 3,926,960 (Loss) from continuing operations before income taxes (387,740 ) 35,584 (859,244 ) (691,028 ) (1,902,428 ) Income tax (benefit) (168,000 ) (139,000 ) (15,000 ) (251,351 ) (573,351 ) Net (loss) from continuing operations $ (219,740 ) $ 174,584 $ (844,244 ) $ (439,677 ) $ (1,329,077 ) Discontinued operations: Net income (loss) from discontinued operations net of income tax expense of $0,$0, $0 and $88,375, respectively — — 165,000 (8,069 ) 156,931 Net income from discontinued operations — — 165,000 (8,069 ) 156,931 Net (loss) $ (219,740 ) $ 174,584 $ (679,244 ) $ (447,746 ) $ (1,172,146 ) Net (loss) per share from continuing operations - Basic $ (0.03 ) $ 0.02 $ (0.11 ) $ (0.06 ) $ (0.17 ) Net income per share from discontinued operations - Basic — — 0.02 — 0.02 Net (loss) per share - Basic $ (0.03 ) $ 0.02 $ (0.09 ) $ (0.06 ) $ (0.15 ) Net (loss) per share from continuing operations - Diluted $ (0.03 ) $ 0.02 $ (0.11 ) $ (0.06 ) $ (0.17 ) Net income per share from discontinued operations - Diluted — — 0.02 — 0.02 Net (loss) per share - Diluted $ (0.03 ) $ 0.02 $ (0.09 ) $ (0.06 ) $ (0.15 )

Schedule II

Schedule II	12 Months Ended
	Jun. 30, 2017
Valuation and Qualifying Accounts [Abstract]
Schedule II	Schedule II Additions Balance at charged Balance at beginning to cost and end of Description of period expenses (Deductions) period Allowance for doubtful accounts Years ended June 30: 2017 $ 96,868 $ — $ — $ 96,868 2016 $ 126,868 $ (30,000 )(A) $ — $ 96,868 2015 $ 136,868 $ (10,000 )(A) $ — $ 126,868 (A) Reduction in allowance for doubtful accounts due to adjustment in reserve balance. Additions Balance at charged (credited) Balance at beginning to cost and end of Description of period expenses (Deductions) period Deferred tax valuation allowance Year ended June 30: 2017 $ 628,730 — — $ 628,730 2016 $ 628,730 $ — $ — $ 628,730 2015 $ 6,132,147 $ (1,111,693 ) $ (4,391,724 )(A) $ 628,730 (A) Reduction in deferred tax valuation allowance due to reevaluation of deferred tax assets.

Basis of Presentation, Organi22

Basis of Presentation, Organization and Business and Summary of Significant Accounting Policies (Policies)	12 Months Ended
	Jun. 30, 2017
Accounting Policies [Abstract]
Basis of Presentation	Basis of Presentation These consolidated financial statements of Misonix, Inc. (“Misonix” or the “Company”) include the accounts of Misonix and its 100% owned subsidiaries. All significant intercompany balances and transactions have been eliminated.
Reclassifications	Reclassifications Certain historical expenses on the Statement of Operations have been reclassified to be consistent with the current year presentation. Historically, the Company had recorded stock compensation expense and bonus expense predominantly within general and administrative expenses. The Company has reclassified amounts to allocate certain of these costs to cost of goods sold, selling expenses and research and development expenses, which is consistent with the classification being used in 2017. This reclassification had no impact on the Company’s presentation of operating income (loss) and the gross profit impact was not material.
Organization and Business	Organization and Business Misonix designs, manufactures, develops and markets therapeutic ultrasonic devices. These products are used for precise bone sculpting, removal of soft tumors, and tissue debridement in the fields of orthopedic surgery, plastic surgery, neurosurgery, podiatry and vascular surgery. In the United States, the Company sells its products through a network of commissioned agents assisted by Company personnel. Outside of the United States, the Company sells to distributors who then resell the product to hospitals. The Company operates as one business segment.
High Intensity Focused Ultrasound Technology	High Intensity Focused Ultrasound Technology The Company sold its rights to the high intensity focused ultrasound technology to SonaCare Medical, LLC (“SonaCare”) in May 2010. The Company may receive up to approximately $5.8 million in payment for the sale. SonaCare will pay the Company 7% of the gross revenues received from its sales of the (i) prostate product in Europe and (ii) kidney and liver products worldwide, until the Company has received payments of $3 million, and thereafter 5% of the gross revenues, up to an aggregate payment of $5.8 million, all subject to a minimum annual royalty of $250,000. Cumulative payments through June 30, 2017 were $1,504,788.
Cash and Cash Equivalents	Cash and Cash Equivalents The Company considers all highly liquid debt instruments purchased with a maturity of three months or less to be cash equivalents. All of the Company’s cash is maintained in bank accounts and accordingly it does not have cash equivalents at June 30, 2017. The Company’s cash balance at June 30, 2017 was $11,557,071. The Company maintains cash balances at various financial institutions. At June 30, 2017, these financial institutions held cash that was approximately $11,325,285in excess of amounts insured by the Federal Deposit Insurance Corporation and other government agencies.
Major Customers and Concentration of Credit Risk	Major Customers and Concentration of Credit Risk Included in sales from continuing operations are sales to Cicel of $46,722, $1,557,132 and $2,974,086, for the fiscal years ended June 30, 2017, 2016 and 2015, respectively. There were no accounts receivable from Cicel at June 30, 2017 and 2016. The Company terminated its agreement with Cicel in the first quarter of fiscal 2017. Total royalties from Medtronic Minimally Invasive Therapies (“MMIT”) related to their sales of the Company’s ultrasonic cutting and sculpting products, which use high frequency sound waves to coagulate and divide tissue for both open and laparoscopic surgery, were $3,764,000 , $3,903,000 and $4,162,000 for the fiscal years ended June 30, 2017, 2016 and 2015, respectively. Accounts receivable from MMIT royalties were approximately $925,000 and $973,000 at June 30, 2017 and 2016, respectively. The license agreement with MMIT expired in August 2017. At June 30, 2017 and 2016, the Company’s accounts receivable with customers outside the United States were approximately $860,000 and $768,000, respectively, none of which is over 90 days.
Use of Estimates	Use of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States requires management to make estimates and judgments that affect the reported amount of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Significant estimates and assumptions are used for but not limited to establishing the allowance for doubtful accounts, valuation of inventory, depreciation, asset impairment evaluations and establishing deferred tax assets and related valuation allowances, and stock-based compensation. Actual results could differ from those estimates.
Accounts Receivable	Accounts Receivable Accounts receivable, principally trade, are generally due within 30 to 90 days and are stated at amounts due from customers, net of an allowance for doubtful accounts. The Company performs ongoing credit evaluations and adjusts credit limits based upon payment history and the customer‘s current credit worthiness, as determined by a review of their current credit information. The Company continuously monitors aging reports, collections and payments from customers and maintains a provision for estimated credit losses based upon historical experience and any specific customer collection issues that have been identified. While such credit losses have historically been within expectations and the provisions established, the Company cannot guarantee that the same credit loss rates will be experienced in the future. The Company writes off accounts receivable when they become uncollectible.
Inventories	Inventories Inventories are stated at the lower of cost (first-in, first-out) or market and consist of raw materials, work-in process and finished goods and include purchased materials, direct labor and manufacturing overhead. Management evaluates the need to record adjustments to write down inventory to the lower of cost or market on a quarterly basis. The Company’s policy is to assess the valuation of all inventories, including raw materials, work-in-process and finished goods and it writes down its inventory for estimated obsolescence based upon the age of inventory and assumptions about future demand and usage. Inventory items used for demonstration purposes, rentals or on consignment are classified as property, plant and equipment.
Property, Plant and Equipment	Property, Plant and Equipment Property, plant and equipment are recorded at cost. Minor replacements and maintenance and repair expenses are charged to expense as incurred. Depreciation of property and equipment is provided using the straight-line method over estimated useful lives ranging from 3 to 5 years. Leasehold improvements are amortized over the life of the lease or the useful life of the related asset, whichever is shorter. The Company‘s policy is to periodically evaluate the appropriateness of the lives assigned to property, plant and equipment and make adjustments if necessary. Inventory items included in property, plant and equipment are depreciated using the straight line method over estimated useful lives of 3 to 5 years. Depreciation of BoneScapel and Sonic OneOR generators which are consigned to customers are depreciated over a 5 year period, and depreciation is charged to selling expenses. See Note 4.
Revenue Recognition	Revenue Recognition The Company records revenue upon shipment for products shipped F.O.B. shipping point. Products shipped F.O.B. destination points are recorded as revenue when received at the point of destination. Shipments under agreements with distributors are not subject to return, and payment for these shipments is not contingent on sales by the distributor. Accordingly, the Company recognizes revenue on shipments to distributors in the same manner as with other customers. Service contracts and royalty income are recognized when earned. The Company generally warrantees its product for a 12 month period, and accordingly records a related warranty reserve. Historical warranty costs have not been significant. The Company presents taxes collected from customers and remitted to governmental authorities in the consolidated statements of operations on a net basis.
Long-Lived Assets	Long-Lived Assets The carrying values of intangible and other long-lived assets, excluding goodwill, are periodically reviewed to determine if any impairment indicators are present. If it is determined that such indicators are present and the review indicates that the assets will not be fully recoverable, based on undiscounted estimated cash flows over the remaining amortization and depreciation period, their carrying values are reduced to estimated fair value. Impairment indicators include, among other conditions, cash flow deficits, an historic or anticipated decline in revenue or operating profit, adverse legal or regulatory developments, accumulation of costs significantly in excess of amounts originally expected to acquire the asset and a material decrease in the fair value of some or all of the assets. Assets are grouped at the lowest levels for which there are identifiable cash flows that are largely independent of the cash flows generated by other asset groups. No such impairment was deemed to exist in fiscal 2017 and 2016.
Goodwill	Goodwill Goodwill is not amortized. We review goodwill for impairment annually and whenever events or changes indicate that the carrying value of an asset may not be recoverable. These events or circumstances could include a significant change in the business climate, legal factors, operating performance indicators, competition, or sale or disposition of significant assets or products. Application of this impairment test requires significant judgments, including estimation of cash flows, which is dependent on internal forecasts, estimation of the long term rate of growth for the Company’s business, the useful lives over which cash flows will occur and determination of the Company’s weighted average cost of capital. The Company primarily utilizes the Company’s market capitalization and a discontinued cash flow model in determining the fair value which consists of Level 3 inputs. Changes in the projected cash flows and discount rate estimates and assumptions underlying the valuation of goodwill could materially affect the determination of fair value in acquisition or during subsequent periods when tested for impairment. The Company completed its annual goodwill impairment tests for fiscal 2017 and 2016 as of June 30th each year. No impairment of goodwill was deemed to exist in fiscal 2017, 2016 and 2015.
Patents, Intangible and Other Assets	Patents The cost of acquiring or processing patents is capitalized at cost. This amount is being amortized using the straight-line method over the estimated useful lives of the underlying assets, which is approximately 17 years. Patents totaled $719,136 and $604,916 at June 30, 2017 and 2016, respectively. Amortization expense for the years ended June 30, 2017, 2016 and 2015 was approximately $110,000, $94,000 and $150,000, respectively. The following is a schedule of estimated future patent amortization expense as of June 30, 2017 during the following fiscal years: 2018 $ 116,375 2019 105,211 2020 81,782 2021 75,611 2022 49,642 Thereafter 290,515 $ 719,136
Income Taxes	Income Taxes Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases and operating loss and tax credit carry forwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income in those periods in which temporary differences become deductible. Should management determine that it is more likely than not that some portion of the deferred tax asset will not be realized, a valuation allowance against the deferred tax asset would be established in the period such determination was made. The Company recognizes a tax benefit from an uncertain tax position only if it is more likely than not that the tax position will be sustained on examination by the taxing authorities based on the technical merits of the position. The tax benefits recognized in the financial statements from such position are measured based on the largest benefit that has a greater than fifty percent likelihood of being realized upon ultimate settlement. The Company classifies income tax related interest and penalties as a component of income tax expense.
Income (Loss) Per Share	Income (Loss) Per Share Basic income (loss) per common share (“Basic EPS”) is computed by dividing income (loss) by the weighted average number of common shares outstanding using the treasury stock method. Diluted income (loss) per common share (“Diluted EPS”) is computed by dividing income (loss) by the weighted average number of common shares and the dilutive common share equivalents and convertible securities then outstanding. The number of weighted average common shares used in the calculation of Basic EPS and Diluted EPS were as follows: For the years ended 2017 2016 2015 Basic shares 8,398,778 7,776,949 7,580,450 Dilutive effect of stock options — — 513,669 Diluted shares 8,398,778 7,776,949 8,094,119 Excluded from the calculation of Diluted EPS are options to purchase 257,000 shares of common stock for the twelve months ended June 30, 2015. The excluded shares are any shares in which the average stock price for the year ended June 30 is less than the exercise price of the outstanding options in the period in which the Company has net income. Diluted EPS for the twelve months ended June 30, 2017 and 2016 presented is the same as Basic EPS, as the inclusion of the effect of common share equivalents then outstanding would be anti-dilutive. For this reason, excluded from the calculations of diluted EPS for the twelve months ended June 30, 2017 and 2016 are outstanding options to purchase 1,191,236 and 1,790,224 shares, respectively. Also excluded from the calculation of earnings per share are the 400,000 restricted stock awards which we issued in December 2016 as none of the shares were vested as of June 30, 2017.
Research and Development	Research and Development All research and development expenses are expensed as incurred and are included in operating expenses.
Advertising Expense	Advertising Expense The cost of advertising is expensed in the period the advertising first takes place. The Company incurred approximately $76,000, $386,000 and $155,000 in advertising costs during the fiscal years ended June 30, 2017, 2016 and 2015, respectively. Advertising costs are reported in selling expenses on the statement of operations.
Depreciation Expense for Consigned Inventory	Depreciation Expense for Consigned Inventory The Company typically provides to its United States customers, on a consignment basis, the generators used to power its BoneScapel and SonicOne products. Title to these generators remains at all times with the Company. When these generators are deployed in the field at customer locations, the Company depreciates these units over a five year period and charges the depreciation to selling expenses. Depreciation expense relating to consigned generators for the three years ended June 30, 2017 was $425,000, $416,000 and $232,000, respectively. Prior to fiscal 2017, consigned units were depreciated over a three year period. The impact of this change in accounting estimate was a reduction in expense of approximately $283,000 for the year ended June 30, 2017, compared to what the expense would have been without this change.
Shipping and Handling	Shipping and Handling Shipping and handling fees for the fiscal years ended June 30, 2017, 2016 and 2015 were approximately $119,000, $109,000 and $62,000 respectively, and are reported as a component of net sales. Shipping and handling costs for the fiscal years ended June 30, 2017, 2016 and 2015 were approximately $337,000, $142,000 and $87,000, respectively, and are reported as a component of selling expenses.
Stock-Based Compensation	Stock-Based Compensation The Company measures compensation cost for all share based payments at fair value and recognizes the cost over the vesting period. The Company uses the Black-Scholes method to value awards and utilizes the straight line amortization method to recognize the expense associated with the awards with graded vesting terms.
Restricted Stock Awards	Restricted Stock Awards The Company measures compensation cost for all restricted stock awards at fair value and recognizes the cost over the vesting period. For awards that have market conditions, the Company uses the Monte Carlo valuation method to value awards and utilizes the straight line amortization method to recognize the expense associated with the awards with graded vesting terms. Where awards have performance conditions, the Company will determine the probability of achieving those conditions and will record compensation expense when it is probable that the conditions will be met.
Recent Accounting Pronouncements	Recent Accounting Pronouncements In May 2014, the Financial Accounting Standards Board (the “FASB”) issued guidance on revenue from contracts with customers. The underlying principle is that an entity will recognize revenue to depict the transfer of goods or services to customers at an amount that the entity expects to be entitled to in exchange for those goods or services. The guidance provides a five-step analysis of transactions to determine when and how revenue is recognized. Other major provisions include capitalization of certain contract costs, consideration of time value of money in the transaction price, and allowing estimates of variable consideration to be recognized before contingencies are resolved, in certain circumstances. The guidance also requires enhanced disclosures regarding the nature, amount, timing and uncertainty of revenue and cash flows arising from an entity‘s contracts with customers. This guidance permits the use of either the retrospective or cumulative effect transition method and is effective for the Company beginning in 2019; early adoption is permitted beginning in 2018. We have not yet selected a transition method and are currently evaluating the impact of the guidance on the Company‘s financial condition, results of operations and related disclosures. The FASB has also issued the following additional guidance clarifying certain issues on revenue from contracts with customers: Revenue from Contracts with Customers - Narrow-Scope Improvements and Practical Expedients and Revenue from Contracts with Customers - Identifying Performance Obligations and Licensing. The Company is currently in the early stages of evaluating this guidance to determine the impact it will have on its financial statements. In August 2014, the FASB issued guidance on management‘s responsibility in evaluating whether there is substantial doubt about a company‘s ability to continue as a going concern and related footnote disclosures. Management will be required to evaluate, at each reporting period, whether there are conditions or events that raise substantial doubt about a company‘s ability to continue as a going concern within one year from the date the financial statements are issued. This guidance is effective prospectively for annual and interim reporting periods beginning in 2017; implementation of this guidance did not have a material effect on the Company’s financial condition or results of operations. In November 2015, the FASB issued ASU 2015-17 “Balance Sheet Classification of Deferred Taxes (Topic 740)”. The amendments in this ASU require deferred tax liabilities and assets be classified as noncurrent in a classified statement of financial position. The amendments eliminate the guidance in Topic 740 that requires an entity to separate deferred tax liabilities and assets into a current amount and a noncurrent amount in a classified statement of financial position. The Company adopted ASU 2015-17 as of March 31, 2016 on a prospective basis in order to simplify the balance sheet classification of deferred taxes. In February 2016, the FASB issued guidance on lease accounting requiring lessees to recognize a right-of-use asset and a lease liability for long-term leases. The liability will be equal to the present value of lease payments. This guidance must be applied using a modified retrospective transition approach to all annual and interim periods presented and is effective for the Company beginning in fiscal 2019. The Company is currently in the early stages of evaluating this guidance to determine the impact it will have on its financial statements. In March 2016, the FASB issued guidance on simplifying several aspects of accounting for share-based payment award transactions, including income tax consequences, classification of awards as either equity or liabilities, and classification on the statement of cash flows. This guidance requires a mix of prospective, modified retrospective, and retrospective transition to all annual and interim periods presented and is effective for the Company beginning in fiscal 2018. The Company adopted this guidance on July 1, 2017. This guidance will be adopted by the Company on July 1, 2017 and management expects this to result in an increase in the Company’s deferred tax asset of approximately $2.5 million. In August 2016, the FASB issued guidance on the Statement of Cash Flows Classification of certain cash receipts and cash payments (a consensus of the Emerging Issues Task Force). This guidance addresses the following eight specific cash flow issues: Debt prepayment or debt extinguishment costs; settlement of zero-coupon debt instruments or other debt instruments with coupon interest rates that are insignificant in relation to the effective interest rate of the borrowing; contingent consideration payments made after a business combination; proceeds from the settlement of insurance claims; proceeds from the settlement of corporate-owned life insurance policies (including bank-owned life insurance policies); distributions received from equity method investees; beneficial interests in securitization transactions; and separately identifiable cash flows and application of the predominance principle. This guidance will be effective for the Company beginning in fiscal 2019. The Company is currently in the early stages of evaluating this guidance to determine the impact it will have on its financial statements. In January 2017, the Financial Accounting Standards Board (the “FASB”) issued ASU No. 2017-04, Simplifying the Test for Goodwill Impairment In January 2017, the FASB issued ASU No. 2017-01, Business Combinations: Clarifying the Definition of a Business There are no other recently issued accounting pronouncements that are expected to have a material effect on the Company’s financial position, results of operations or cash flows.

Basis of Presentation, Organi23

Basis of Presentation, Organization and Business and Summary of Significant Accounting Policies (Tables)	12 Months Ended
	Jun. 30, 2017
Accounting Policies [Abstract]
Schedule of estimated future patent amortization expense	The following is a schedule of estimated future patent amortization expense as of June 30, 2017 during the following fiscal years: 2018 $ 116,375 2019 105,211 2020 81,782 2021 75,611 2022 49,642 Thereafter 290,515 $ 719,136
Schedule of number of weighted average common shares used in the calculation of Basic EPS and Diluted EPS	The number of weighted average common shares used in the calculation of Basic EPS and Diluted EPS were as follows: For the years ended 2017 2016 2015 Basic shares 8,398,778 7,776,949 7,580,450 Dilutive effect of stock options — — 513,669 Diluted shares 8,398,778 7,776,949 8,094,119

Inventories (Tables)

Inventories (Tables)	12 Months Ended
	Jun. 30, 2017
Inventory Disclosure [Abstract]
Schedule of inventories	Inventories are summarized as follows: June 30, June 30, 2017 2016 Raw material $ 2,409,148 $ 3,102,175 Work-in-process 741,994 854,631 Finished goods 3,267,232 3,101,234 6,418,374 7,058,040 Less valuation reserve 1,425,940 1,235,105 $ 4,992,434 $ 5,822,935

Property, Plant and Equipment (

Property, Plant and Equipment (Tables)	12 Months Ended
	Jun. 30, 2017
Property, Plant and Equipment [Abstract]
Schedule of property, plant and equipment	Property, plant and equipment consist of the following: June 30, June 30, 2017 2016 Machinery and equipment $ 2,452,363 $ 2,128,349 Furniture and fixtures 1,406,758 1,387,883 Automobiles 22,328 22,328 Leasehold improvements 691,751 682,591 Demonstration and consignment inventory 6,951,583 5,247,946 11,524,783 9,469,097 Less: accumulated depreciation and amortization (7,794,580 ) (6,976,282 ) $ 3,730,203 $ 2,492,815

Accrued Expenses and Other Cu26

Accrued Expenses and Other Current Liabilities (Tables)	12 Months Ended
	Jun. 30, 2017
Payables and Accruals [Abstract]
Schedule of accrued expenses and other current liabilities	The following summarizes accrued expenses and other current liabilities: June 30, June 30, 2017 2016 Accrued payroll, payroll taxes and vacation 715,245 648,705 Accrued bonus 343,400 300,000 Accrued commissions 751,000 433,000 Professional fees 662,537 256,130 Litigation settlement 500,000 Deferred income 27,901 20,655 Severance 10,029 — Other 336,026 228,847 $ 3,346,138 $ 1,887,337

Stock-Based Compensation Plans

Stock-Based Compensation Plans (Tables)	12 Months Ended
	Jun. 30, 2017
Equity [Abstract]
Schedule of Share-based compensation plan	At June 30, 2017, the Company had outstanding equity-linked grants under eight stock-based compensation plans (the “Plans”), as follows: Available Initial Expired / For Plan Shares Granted Exercised Forfeited Outstanding Issuance 2001 Employee Stock Option Plan 1,000,000 1,251,261 376,368 868,955 5,938 — 2005 Employee Equity Incentive Plan 500,000 547,125 484,250 48,925 13,950 — 2005 Non Employee Director Stock Option Plan 200,000 195,000 97,500 7,500 90,000 — 2009 Employee Equity Incentive Plan 500,000 619,925 357,227 123,100 139,598 3,175 2009 Non Employee Director Stock Option Plan 200,000 195,000 48,750 33,750 112,500 38,750 2012 Employee Equity Incentive Plan 500,000 664,000 111,250 188,250 364,500 24,250 2012 Non Employee Director Stock Option Plan 200,000 180,000 — 41,250 138,750 61,250 2014 Employee Equity Incentive Plan 750,000 480,000 — 154,000 326,000 24,000 2017 Equity Incentive Plan 750,000 — — — — 750,000 Total 1,191,236 901,425
Schedule of weighted average fair value at date of grant for options	The weighted average fair value at date of grant for options granted during the fiscal years ended June 30, 2017, 2016 and 2015 was $4.46, $4.68 and $5.70 per share, respectively. The fair value was estimated based on the weighted average assumptions of: For twelve months ended June 30, 2017 2016 2015 Risk-free interest rates 1.80 % 1.71 % 1.60 % Expected option life in years 6.25 6.25 6.50 Expected stock price volatility 54.68 % 55.41 % 61.13 % Expected dividend yield 0 % 0 % 0 %
Schedule of summary of option activity	A summary of option activity under the Plans as of June 30, 2017, 2016 and 2015, and changes during the years ending on those dates is presented below: Options Weighted Average Aggregate Outstanding Exercise Intrinsic Shares Price Value Outstanding as of June 30, 2014 1,663,329 3.88 $ 4,879,106 Vested and exercisable at June 30, 2014 967,056 3.81 $ 2,937,802 Granted 549,000 10.11 Exercised (579,463 ) 4.11 Forfeited (47,250 ) 7.70 Expired (28,000 ) 8.00 Outstanding as of June 30, 2015 1,557,616 5.80 $ 6,553,821 Vested and exercisable at June 30, 2015 620,256 3.19 $ 3,911,604 Granted 320,000 8.80 Exercised (82,737 ) 4.60 Forfeited (4,375 ) 9.23 Expired (280 ) 5.82 Outstanding as of June 30, 2016 1,790,224 $ 6.38 $ 1,675,072 Vested and exercisable at June 30, 2016 813,349 $ 3.82 $ 1,501,208 Granted 327,500 8.34 Exercised (527,663 ) 3.30 Forfeited (383,625 ) 8.23 Expired (15,200 ) 8.51 Outstanding as of June 30, 2017 1,191,236 $ 7.66 $ 2,748,956 Vested and exercisable at June 30, 2017 517,361 $ 6.33 $ 1,923,794
Schedule of stock options outstanding and exercisable	The following table summarizes information about stock options outstanding and exercisable at June 30, 2017: Options Outstanding Options Exercisable Weighted Average Weighted Weighted Range of Contractual Average Average Exercise Life Exercise Exercise Prices Number (Yrs.) Price Number Price $0.85-$6.74 352,236 4.1 $ 4.09 313,861 $ 3.98 $6.75-$8.53 341,750 8.3 $ 7.23 85,000 $ 7.57 $8.54-13.89 497,250 8.4 $ 10.49 118,500 $ 11.65 1,191,236 7.1 $ 7.66 517,361 $ 6.33

Commitments and Contingencies (

Commitments and Contingencies (Tables)	12 Months Ended
	Jun. 30, 2017
Commitments and Contingencies Disclosure [Abstract]
Schedule of future minimum lease payments	The following is a schedule of future minimum lease payments, by year and in the aggregate, under operating leases with initial or remaining terms of one year or more at June 30, 2017: Operating Leases 2018 353,659 2019 21,812 2020 21,812 2021 9,225 Total minimum lease payments $ 406,508

Related Party Transactions (Tab

Related Party Transactions (Tables)	12 Months Ended
	Jun. 30, 2017
Related Party Transactions [Abstract]
Schedule of net sales and accounts receivables	Set forth below is a table showing the Company’s net sales for each of the past three fiscal years and accounts receivable at June 30 for the indicated time periods below with Applied BioSurgical: For the years ended June 30: Applied BioSurgical 2017 2016 2015 Sales $ 580,888 $ 559,787 $ 540,185 Accounts receivable $ 192,984 $ 272,421 $ 294,683

Income Taxes (Tables)

Income Taxes (Tables)	12 Months Ended
	Jun. 30, 2017
Income Tax Disclosure [Abstract]
Schedule of deferred tax assets and liabilities	The tax effects of temporary differences that give rise to significant portions of the deferred tax assets and liabilities are presented below: June 30, 2017 2016 Deferred tax assets / (liabilities) Bad debt reserves $ 34,243 $ 34,151 Inventory reserves 676,733 624,808 Accruals and allowances 269,539 148,479 License fee and other income — 2,139 Net operating loss carryforwards 3,500,826 2,204,637 Tax credits 455,916 406,070 Stock based compensation 451,892 839,611 Deferred gain - HIFU and Labcaire 149,222 156,275 Amortization (594,306 ) (599,802 ) Depreciation 16,030 195,048 Other 3,182 12,004 4,963,277 4,023,420 Valuation Allowance (628,730 ) (628,730 ) Total net deferred tax assets $ 4,334,547 $ 3,394,690
Schedule of significant components of the income tax expense (benefit)	Significant components of the income tax expense (benefit) attributable to continuing operations are as follows: Year Ended June 30, 2017 2016 2015 Current: Federal $ — $ 4,962 $ 59,686 State 5,424 17,012 44,361 Total current 5,424 21,974 104,047 Deferred: Federal (990,016 ) (558,133 ) (2,845,039 ) State (38,216 ) (37,192 ) (43,640 ) Total deferred (1,028,232 ) (595,325 ) (2,888,679 ) $ (1,022,808 ) $ (573,351 ) $ (2,784,632 )
Schedule of reconciliation of income tax expense (benefit)	The reconciliation of income tax expense (benefit) computed at the Federal statutory tax rates to income tax expense (benefit) is as follows: Year ended June 30, 2017 2016 2015 Tax at federal statutory rates $ (974,308 ) $ (646,828 ) $ 856,604 State income taxes, net of federal benefit (34,636 ) (13,319 ) 29,278 Research credit (50,000 ) (49,593 ) (70,401 ) Stock-based compensation 6,692 191,827 303,398 Deferred tax asset adjustments (1) — (100,939 ) — Valuation allowance — — (3,914,045 ) Travel and entertainment 34,743 35,010 21,508 Other (5,299 ) 10,491 (10,974 ) $ (1,022,808 ) $ (573,351 ) $ (2,784,632 )

Segment Reporting (Tables)

Segment Reporting (Tables)	12 Months Ended
	Jun. 30, 2017
Segment Reporting [Abstract]
Schedule of revenue	Worldwide revenue for the Company’s products is categorized as follows: For the Years Ended June 30, 2017 2016 2015 Total Consumables $ 20,328,676 $ 16,091,651 $ 12,833,377 Equipment 6,941,287 7,021,543 9,371,201 Total $ 27,269,963 $ 23,113,194 $ 22,204,578 Domestic: Consumables $ 14,866,772 $ 11,277,449 $ 8,449,215 Equipment 1,593,999 1,809,357 2,348,705 Total $ 16,460,771 $ 13,086,806 $ 10,797,920 International: Consumables $ 5,461,904 $ 4,814,202 $ 4,384,162 Equipment 5,347,288 5,212,186 7,022,496 Total $ 10,809,192 $ 10,026,388 $ 11,406,658

Quarterly Results (unaudited) (

Quarterly Results (unaudited) (Tables)	12 Months Ended
	Jun. 30, 2017
Valuation and Qualifying Accounts [Abstract]
Schedule of quarterly results	Fiscal 2017 Q1 Q2 Q3 Q4 Year Net sales $ 6,171,625 $ 6,030,380 $ 7,177,763 $ 7,890,195 $ 27,269,963 Cost of goods sold 1,912,007 1,818,672 2,112,099 2,374,661 8,217,439 Gross profit 4,259,618 4,211,708 5,065,664 5,515,534 19,052,524 Operating expenses: Selling expenses 3,325,687 3,271,134 3,587,859 4,036,227 14,220,907 General and administrative expenses 1,931,821 2,087,419 2,484,962 3,091,004 9,595,206 Research and development expenses 492,084 440,364 465,863 439,186 1,837,497 Total operating expenses 5,749,592 5,798,917 6,538,684 7,566,417 25,653,610 Loss from operations (1,489,974 ) (1,587,209 ) (1,473,020 ) (2,050,883 ) (6,601,086 ) Other income/(expense): Interest income 19 19 18 19 75 Royalty income and license fees 944,068 949,048 953,235 925,259 3,771,610 Other (1,996 ) (6,640 ) (6,940 ) (20,635 ) (36,211 ) Total other income 942,091 942,427 946,313 904,643 3,735,474 (Loss) from continuing operations before income taxes (547,883 ) (644,782 ) (526,707 ) (1,146,240 ) (2,865,612 ) Income tax (benefit) (26,000 ) (30,000 ) (219,000 ) (747,808 ) (1,022,808 ) Net (loss) from continuing operations $ (521,883 ) $ (614,782 ) $ (307,707 ) $ (398,432 ) $ (1,842,804 ) Discontinued operations: Net income (loss) from discontinued operations net of income tax expense of $0,$0, $0 and $88,375, respectively 161,861 (236 ) 161,625 Net income from discontinued operations — — 161,861 (236 ) 161,625 Net (loss) $ (521,883 ) $ (614,782 ) $ (145,846 ) $ (398,668 ) $ (1,681,179 ) Net (loss) per share from continuing operations - Basic $ (0.07 ) $ (0.07 ) $ (0.04 ) $ (0.05 ) $ (0.22 ) Net income per share from discontinued operations - Basic — — 0.02 — 0.02 Net (loss) per share - Basic $ (0.07 ) $ (0.07 ) $ (0.02 ) $ (0.05 ) $ (0.20 ) Net (loss) per share from continuing operations - Diluted $ (0.07 ) $ (0.07 ) $ (0.04 ) $ (0.05 ) $ (0.22 ) Net income per share from discontinued operations - Diluted — — 0.02 — 0.02 Net (loss) per share - Diluted $ (0.07 ) $ (0.07 ) $ (0.02 ) $ (0.05 ) $ (0.20 ) Fiscal 2016 Q1 Q2 Q3 Q4 Year Net sales $ 5,250,985 $ 6,039,355 $ 5,426,147 $ 6,396,707 $ 23,113,194 Cost of goods sold 1,760,699 1,957,900 1,859,749 2,062,278 7,640,626 Gross profit 3,490,286 4,081,455 3,566,398 4,334,429 15,472,568 Operating expenses: Selling expenses 2,656,280 2,991,687 3,319,385 3,665,609 12,632,961 General and administrative expenses 1,803,920 1,675,090 1,515,559 1,834,947 6,829,516 Research and development expenses 399,994 392,068 548,278 499,139 1,839,479 Total operating expenses 4,860,194 5,058,845 5,383,222 5,999,695 21,301,956 Loss from operations (1,369,908 ) (977,390 ) (1,816,824 ) (1,665,266 ) (5,829,388 ) Other income/(expense): Interest income 19 25 19 18 81 Royalty income and license fees 988,170 1,018,362 963,025 979,200 3,948,757 Other (6,021 ) (5,413 ) (5,464 ) (4,980 ) (21,878 ) Total other income 982,168 1,012,974 957,580 974,238 3,926,960 (Loss) from continuing operations before income taxes (387,740 ) 35,584 (859,244 ) (691,028 ) (1,902,428 ) Income tax (benefit) (168,000 ) (139,000 ) (15,000 ) (251,351 ) (573,351 ) Net (loss) from continuing operations $ (219,740 ) $ 174,584 $ (844,244 ) $ (439,677 ) $ (1,329,077 ) Discontinued operations: Net income (loss) from discontinued operations net of income tax expense of $0,$0, $0 and $88,375, respectively — — 165,000 (8,069 ) 156,931 Net income from discontinued operations — — 165,000 (8,069 ) 156,931 Net (loss) $ (219,740 ) $ 174,584 $ (679,244 ) $ (447,746 ) $ (1,172,146 ) Net (loss) per share from continuing operations - Basic $ (0.03 ) $ 0.02 $ (0.11 ) $ (0.06 ) $ (0.17 ) Net income per share from discontinued operations - Basic — — 0.02 — 0.02 Net (loss) per share - Basic $ (0.03 ) $ 0.02 $ (0.09 ) $ (0.06 ) $ (0.15 ) Net (loss) per share from continuing operations - Diluted $ (0.03 ) $ 0.02 $ (0.11 ) $ (0.06 ) $ (0.17 ) Net income per share from discontinued operations - Diluted — — 0.02 — 0.02 Net (loss) per share - Diluted $ (0.03 ) $ 0.02 $ (0.09 ) $ (0.06 ) $ (0.15 )

Basis of Presentation, Organi33

Basis of Presentation, Organization and Business and Summary of Significant Accounting Policies (Details) - USD ($)	Jun. 30, 2017	Jun. 30, 2016
Finite-Lived Intangible Assets [Line Items]
Total	$ 719,136	$ 604,916
Patents [Member]
Finite-Lived Intangible Assets [Line Items]
2,018	116,375
2,019	105,211
2,020	81,782
2,021	75,611
2,022	49,642
Thereafter	290,515
Total	$ 719,136	$ 604,916

Basis of Presentation, Organi34

Basis of Presentation, Organization and Business and Summary of Significant Accounting Policies (Details 1) - shares	12 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2015
Accounting Policies [Abstract]
Basic shares	8,398,778	7,776,949	7,580,450
Dilutive effect of stock options			513,669
Diluted shares	8,398,778	7,776,949	8,094,119

Basis of Presentation, Organi35

Basis of Presentation, Organization and Business and Summary of Significant Accounting Policies (Details Narrative)	May 10, 2010USD ($)	Dec. 31, 2016shares	Jun. 30, 2017USD ($)	Mar. 31, 2017USD ($)	Dec. 31, 2016USD ($)	Sep. 30, 2016USD ($)	Jun. 30, 2016USD ($)	Mar. 31, 2016USD ($)	Dec. 31, 2015USD ($)	Sep. 30, 2015USD ($)	Jun. 30, 2017USD ($)Segmentshares	Jun. 30, 2016USD ($)shares	Jun. 30, 2015USD ($)shares	Jul. 01, 2017USD ($)
Ownership percentage			100.00%								100.00%
Number of operating segment | Segment											1
Cash and cash equivalents			$ 11,557,071								$ 11,557,071
Cash held uninsured amount			11,325,285								11,325,285
Sales from continuing operations			7,890,195	$ 7,177,763	$ 6,030,380	$ 6,171,625	$ 6,396,707	$ 5,426,147	$ 6,039,355	$ 5,250,985	27,269,963	$ 23,113,194	$ 22,204,578
Finite lived intangible assets, net			719,136				604,916				$ 719,136	$ 604,916
Excluded from the calculation of diluted EPS | shares											1,191,236	1,790,224	257,000
Advertising expense											$ 76,000	$ 386,000	$ 155,000
Restricted Stock [Member]
Excluded from the calculation of diluted EPS | shares		400,000
Generators [Member]
Estimated useful lives												P3Y
Depreciation expense											425,000	$ 416,000	232,000
Impact of change in accounting estimate reduction in expenses											283,000
Net Sales [Member]
Shipping and handling fees											119,000	109,000	62,000
Selling Expenses [Member]
Shipping and handling fees											$ 337,000	142,000	87,000
Patents [Member]
Intangible assets estimated useful lives											17 years
Finite lived intangible assets, net			719,136				604,916				$ 719,136	604,916
Amortization expense											$ 110,000	94,000	150,000
BoneScapel Generators [Member]
Estimated useful lives											P5Y
Sonic OneOR Generators [Member]
Estimated useful lives											P5Y
Minimum [Member]
Estimated useful lives											P3Y
Maximum [Member]
Estimated useful lives											P5Y
International [Member]
Sales from continuing operations											$ 10,809,192	10,026,388	11,406,658
Accounts receivable			860,000				768,000				860,000	768,000
SonaCare Medical ("SonaCare") [Member]
Proceeds from sale of intangible assets	$ 5,800,000										1,504,788
Earn-out percentage	7.00%
Proceeds from sale of intangible assets	$ 3,000,000
Earn-out percentage	5.00%
Proceeds from sale of intangible assets	$ 5,800,000
Annual Royalty	$ 250,000
Cicel (Beijing) Science and Tech Co. Ltd. ("Cicel") [Member]
Sales from continuing operations											46,722	1,557,132	2,974,086
Medtronic Minimally Invasive Therapies ("MMIT") [Member]
Accounts receivable			$ 925,000				$ 973,000				925,000	973,000
Medtronic Minimally Invasive Therapies ("MMIT") [Member] | License Agreement [Member]
Royalty revenue											$ 3,764,000	$ 3,903,000	$ 4,162,000
Agreement expiration date											2017-08
Subsequent Event [Member]
Deferred tax asset														$ 2,500,000

Inventories (Details)

Inventories (Details) - USD ($)	Jun. 30, 2017	Jun. 30, 2016
Inventory Disclosure [Abstract]
Raw material	$ 2,409,148	$ 3,102,175
Work-in-process	741,994	854,631
Finished goods	3,267,232	3,101,234
Inventory, gross	6,418,374	7,058,040
Less valuation reserve	1,425,940	1,235,105
Inventory, net	$ 4,992,434	$ 5,822,935

Property, Plant and Equipment37

Property, Plant and Equipment (Details) - USD ($)	Jun. 30, 2017	Jun. 30, 2016
Property, Plant and Equipment [Line Items]
Property, plant and equipment, gross	$ 11,524,783	$ 9,469,097
Less: accumulated depreciation and amortization	(7,794,580)	(6,976,282)
Property, plant and equipment, net	3,730,203	2,492,815
Machinery and Equipment [Member]
Property, Plant and Equipment [Line Items]
Property, plant and equipment, gross	2,452,363	2,128,349
Furniture and Fixtures [Member]
Property, Plant and Equipment [Line Items]
Property, plant and equipment, gross	1,406,758	1,387,883
Automobiles [Member]
Property, Plant and Equipment [Line Items]
Property, plant and equipment, gross	22,328	22,328
Leasehold Improvements [Member]
Property, Plant and Equipment [Line Items]
Property, plant and equipment, gross	691,751	682,591
Demonstration and Consignment Inventory [Member]
Property, Plant and Equipment [Line Items]
Property, plant and equipment, gross	$ 6,951,583	$ 5,247,946

Property, Plant and Equipment38

Property, Plant and Equipment (Details Narrative) - USD ($)	12 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2015
Property, Plant and Equipment [Abstract]
Depreciation and amortization	$ 957,000	$ 1,339,000	$ 981,000

Accrued Expenses and Other Cu39

Accrued Expenses and Other Current Liabilities (Details) - USD ($)	Jun. 30, 2017	Jun. 30, 2016
Payables and Accruals [Abstract]
Accrued payroll, payroll taxes and vacation	$ 715,245	$ 648,705
Accrued bonus	343,400	300,000
Accrued commissions	751,000	433,000
Professional fees	662,537	256,130
Litigation settlement	500,000
Deferred income	27,901	20,655
Severance	10,029
Other	336,026	228,847
Accrued expenses and other current liabilities	$ 3,346,138	$ 1,887,337

Stock-Based Compensation Plan40

Stock-Based Compensation Plans (Details) - shares	12 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2013
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Granted	327,500	320,000	549,000
Exercised	527,663	82,737	579,463
Outstanding	1,191,236	1,790,224	1,557,616	1,663,329
Available For Issuance	901,425
2001 Employee Stock Option Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Initial Shares	1,000,000
Granted	1,251,261
Exercised	376,368
Expired/ Forfeited	868,955
Outstanding	5,938
Available For Issuance
2005 Employee Equity Incentive Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Initial Shares	500,000
Granted	547,125
Exercised	484,250
Expired/ Forfeited	48,925
Outstanding	13,950
Available For Issuance
2005 Non Employee Director Stock Option Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Initial Shares	200,000
Granted	195,000
Exercised	97,500
Expired/ Forfeited	7,500
Outstanding	90,000
Available For Issuance
2009 Employee Equity Incentive Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Initial Shares	500,000
Granted	619,925
Exercised	357,227
Expired/ Forfeited	123,100
Outstanding	139,598
Available For Issuance	3,175
2009 Non Employee Director Stock Option Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Initial Shares	200,000
Granted	195,000
Exercised	48,750
Expired/ Forfeited	33,750
Outstanding	112,500
Available For Issuance	38,750
2012 Employee Equity Incentive Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Initial Shares	500,000
Granted	664,000
Exercised	111,250
Expired/ Forfeited	188,250
Outstanding	364,500
Available For Issuance	24,250
2012 Non Employee Director Stock Option Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Initial Shares	200,000
Granted	180,000
Exercised
Expired/ Forfeited	41,250
Outstanding	138,750
Available For Issuance	61,250
2014 Employee Equity Incentive Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Initial Shares	750,000
Granted	480,000
Exercised
Expired/ Forfeited	154,000
Outstanding	326,000
Available For Issuance	24,000
2017 Equity Incentive Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Initial Shares	750,000
Granted
Exercised
Expired/ Forfeited
Outstanding
Available For Issuance	750,000

Stock-Based Compensation Plan41

Stock-Based Compensation Plans (Details 1)	12 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2015
Equity [Abstract]
Risk-free interest rates	1.80%	1.71%	1.60%
Expected option life in years	6 years 3 months	6 years 3 months	6 years 6 months
Expected stock price volatility	54.68%	55.41%	61.13%
Expected dividend yield	0.00%	0.00%	0.00%

Stock-Based Compensation Plan42

Stock-Based Compensation Plans (Details 2) - USD ($)	12 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2014
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward]
Outstanding at beginning	1,790,224	1,557,616	1,663,329
Granted	327,500	320,000	549,000
Excercised	(527,663)	(82,737)	(579,463)
Forfeited	(383,625)	(4,375)	(47,250)
Expired	(15,200)	(280)	(28,000)
Outstanding at ending	1,191,236	1,790,224	1,557,616	1,663,329
Vested and exercisable at ending	517,361	813,349	620,256	967,056
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price [Roll Forward]
Outstanding at beginning	$ 6.38	$ 5.80	$ 3.88
Granted	8.34	8.80	10.11
Excercised	3.30	4.60	4.11
Forfeited	8.23	9.23	7.70
Expired	8.51	5.82	8
Outstanding at ending	7.66	6.38	5.80	3.88
Vested and exercisable at ending	$ 6.33	$ 3.82	$ 3.19	$ 3.81
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Aggregate Intrinsic Value [Roll Forward]
Outstanding at ending	$ 2,748,956	$ 1,675,072	$ 6,553,821	$ 4,879,106
Vested and exercisable at ending	$ 1,923,794	$ 1,501,208	$ 3,911,604	$ 2,937,802

Stock-Based Compensation Plan43

Stock-Based Compensation Plans (Details 3)	12 Months Ended
	Jun. 30, 2017$ / sharesshares
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Options Outstanding, Number | shares	1,191,236
Options Outstanding, Weighted Average Contractual Life (Yrs.)	7 years 1 month 6 days
Options Outstanding, Weighted Average Exercise Price | $ / shares	$ 7.66
Options Exercisable, Number | shares	517,361
Options Exercisable, Weighted Average Exercise Price | $ / shares	$ 6.33
Exercise Prices $0.85-6.74 [Member]
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Options Outstanding, Number | shares	352,236
Options Outstanding, Weighted Average Contractual Life (Yrs.)	4 years 1 month 6 days
Options Outstanding, Weighted Average Exercise Price | $ / shares	$ 4.09
Options Exercisable, Number | shares	313,861
Options Exercisable, Weighted Average Exercise Price | $ / shares	$ 3.98
Exercise Prices $6.75-8.53 [Member]
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Options Outstanding, Number | shares	341,750
Options Outstanding, Weighted Average Contractual Life (Yrs.)	8 years 3 months 18 days
Options Outstanding, Weighted Average Exercise Price | $ / shares	$ 7.23
Options Exercisable, Number | shares	85,000
Options Exercisable, Weighted Average Exercise Price | $ / shares	$ 7.57
Exercise Prices $8.54-13.89 [Member]
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Options Outstanding, Number | shares	497,250
Options Outstanding, Weighted Average Contractual Life (Yrs.)	8 years 4 months 24 days
Options Outstanding, Weighted Average Exercise Price | $ / shares	$ 10.49
Options Exercisable, Number | shares	118,500
Options Exercisable, Weighted Average Exercise Price | $ / shares	$ 11.65

Stock-Based Compensation Plan44

Stock-Based Compensation Plans (Details Narrative) - USD ($)	Dec. 15, 2016	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2015
Compensation cost		$ 1,086,139	$ 1,629,644	$ 1,107,250
Unrecognized compensation cost		$ 5,612,949
Period of recognition		3 years 2 months 12 days
Weighted average fair value at date of grant (in dollars per share)		$ 4.46	$ 4.68	$ 5.70
Fair value of shares vested		$ 1,213,325
Number of non-vested stock options		248,625	977,000
Weighted-average grant-date fair value of non-vested stock options (in dollars per share)		$ 4.88	$ 4.96
Amount of non-vested options forfeited		$ 625,202
Modified of certain stock options		81,765
Amount of stock options exercise		$ 333,592	$ 189,447	$ 723,560
Number of stock options exercise		141,351
Number of treasury stock issued		280,200
Restricted Stock [Member]
Unrecognized compensation cost		$ 3,148,986
Restricted Stock [Member] | Chief Executive Officer [Member]
Option vesting period	5 years
Fair value of shares vested	$ 3,400,000
Compensation expense		$ 488,402
Number of stock issued	400,000
Description of restricted stock awards		At June 30, 2017, the Company has estimated that it is probable that the performance conditions will be met. The awards were valued using a Monte Carlo valuation model using a stock price at the date of grant of $9.60, a term of 3 to 5 years, a risk free interest rate of 1.6% to 2.1% and a volatility factor of 66.5%.
Stock Options [Member]
Option expiration period		10 years
Option vesting period		4 years

Commitments and Contingencies45

Commitments and Contingencies (Details)	Jun. 30, 2017USD ($)
Commitments and Contingencies Disclosure [Abstract]
2,018	$ 353,659
2,019	21,812
2,020	21,812
2,021	9,225
Total minimum lease payments	$ 406,508

Commitments and Contingencies46

Commitments and Contingencies (Details Narrative) - USD ($)	Mar. 24, 2017	Jun. 30, 2017	Mar. 31, 2017	Dec. 31, 2016	Sep. 30, 2016	Jun. 30, 2016	Mar. 31, 2016	Dec. 31, 2015	Sep. 30, 2015	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2015
Rent expense										$ 428,000	$ 411,000	$ 375,000
Accrued liability		$ 3,346,138				$ 1,887,337				3,346,138	1,887,337
Payment of insurance retention policy											250,000
Net sales		$ 7,890,195	$ 7,177,763	$ 6,030,380	$ 6,171,625	$ 6,396,707	$ 5,426,147	$ 6,039,355	$ 5,250,985	27,269,963	23,113,194	22,204,578
Settlement amount	$ 500,000
Former Chinese Distributor - FCPA [Member]
Investigative costs										250,000
Net sales										8,000,000
Former Chinese Distributor - FCPA [Member] | General and Administrative Expense [Member]
Investigative costs										240,000
Inventories [Member]
Purchase and inventory commitments										$ 2,859,718	$ 2,507,125	$ 2,982,198
Office Equipment & Automobiles [Member]
Description of operating lease expiration term										Expiring through fiscal 2018.
Building [Member]
Rent expense										$ 26,000
Frequency of rent expense										Monthly

Related Party Transactions (Det

Related Party Transactions (Details) - Mr. Stavros G. Vizirgianakis [Member] - Applied BioSurgical [Member] - USD ($)	12 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2015
Sales	$ 580,888	$ 559,787	$ 540,185
Accounts receivable	$ 192,984	$ 272,421	$ 294,683

Related Party Transactions (D48

Related Party Transactions (Details Narrative) - Mr. Stavros G. Vizirgianakis [Member] - Private Placement [Member]	Oct. 25, 2016USD ($)$ / sharesshares
Number of shares sold | shares	761,469
Share price (in dollars per share) | $ / shares	$ 5.253
Proceeds from stock sold | $	$ 4,000,000

Income Taxes (Details)

Income Taxes (Details) - USD ($)	Jun. 30, 2017	Jun. 30, 2016
Deferred tax assets / (liabilities)
Bad debt reserves	$ 34,243	$ 34,151
Inventory reserves	676,733	624,808
Accruals and allowances	269,539	148,479
License fee and other income		2,139
Net operating loss carryforwards	3,500,826	2,204,637
Tax credits	455,916	406,070
Stock based compensation	451,892	839,611
Deferred gain - HIFU and Labcaire	149,222	156,275
Amortization	(594,306)	(599,802)
Depreciation	16,030	195,048
Other	3,182	12,004
Total deferred tax assets liabilities non-current	4,963,277	4,023,420
Valuation Allowance	(628,730)	(628,730)
Total net deferred tax assets	$ 4,334,547	$ 3,394,690

Income Taxes (Details 1)

Income Taxes (Details 1) - USD ($)	3 Months Ended								12 Months Ended
	Jun. 30, 2017	Mar. 31, 2017	Dec. 31, 2016	Sep. 30, 2016	Jun. 30, 2016	Mar. 31, 2016	Dec. 31, 2015	Sep. 30, 2015	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2015
Current:
Federal										$ 4,962	$ 59,686
State									5,424	17,012	44,361
Total current									5,424	21,974	104,047
Deferred:
Federal									(990,016)	(558,133)	(2,845,039)
State									(38,216)	(37,192)	(43,640)
Total deferred									(1,028,232)	(595,325)	(2,888,679)
Total income tax expense (benefit)	$ (747,808)	$ (219,000)	$ (30,000)	$ (26,000)	$ (251,351)	$ (15,000)	$ (139,000)	$ (168,000)	$ (1,022,808)	$ (573,351)	$ (2,784,632)

Income Taxes (Details 2)

Income Taxes (Details 2) - USD ($)		3 Months Ended								12 Months Ended
		Jun. 30, 2017	Mar. 31, 2017	Dec. 31, 2016	Sep. 30, 2016	Jun. 30, 2016	Mar. 31, 2016	Dec. 31, 2015	Sep. 30, 2015	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2015
Income Tax Disclosure [Abstract]
Tax at federal statutory rates										$ (974,308)	$ (646,828)	$ 856,604
State income taxes, net of federal benefit										(34,636)	(13,319)	29,278
Research credit										(50,000)	(49,593)	(70,401)
Stock-based compensation										6,692	191,827	303,398
Deferred tax asset adjustments	[1]										(100,939)
Valuation allowance												(3,914,045)
Travel and entertainment										34,743	35,010	21,508
Other										(5,299)	10,491	(10,974)
Total income tax expense (benefit)		$ (747,808)	$ (219,000)	$ (30,000)	$ (26,000)	$ (251,351)	$ (15,000)	$ (139,000)	$ (168,000)	$ (1,022,808)	$ (573,351)	$ (2,784,632)
[1]	Relates to the correction of two errors from the fiscal 2015 tax provision in fiscal 2016 as the net impact was not material.

Income Taxes (Details Narrative

Income Taxes (Details Narrative) - USD ($)	3 Months Ended	12 Months Ended
	Jun. 30, 2015	Jun. 30, 2017	Jun. 30, 2015
Decrease in valuation allowance			$ 5,503,417
Written-off of deferred tax assets	$ 1,499,297		$ 1,499,297
Recognition of a tax benefit in continuing operations	$ 2,892,000
Valuation allowance on foreign net operating losses		$ 628,730
Gross deferred tax asset		4,963,277
Domestic operating loss carryforwards		10,781,000
Tax benefits related to exercised stock options		2,571,000
Research and development tax credits carryforwards		281,000
Alternative minimum tax credit		$ 175,000
Minimum [Member]
U.S. federal net operating loss carryforwards expiration year		2,031
Research and development net operating loss carryforwards expiration year		2,026
Maximum [Member]
U.S. federal net operating loss carryforwards expiration year		2,037
Research and development net operating loss carryforwards expiration year		2,037

Employee Profit Sharing Plan (D

Employee Profit Sharing Plan (Details Narrative) - Retirement Plan 401(k) [Member] - USD ($)	12 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2015
Exceed age limit of employee	P50Y
Amount of maximum annual contributions by employee	$ 24,000
Pecentage of employer contribution	10.00%
Contribution amount	$ 57,465	$ 52,145	$ 46,636

Segment Reporting (Details)

Segment Reporting (Details) - USD ($)	3 Months Ended								12 Months Ended
	Jun. 30, 2017	Mar. 31, 2017	Dec. 31, 2016	Sep. 30, 2016	Jun. 30, 2016	Mar. 31, 2016	Dec. 31, 2015	Sep. 30, 2015	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2015
Total	$ 7,890,195	$ 7,177,763	$ 6,030,380	$ 6,171,625	$ 6,396,707	$ 5,426,147	$ 6,039,355	$ 5,250,985	$ 27,269,963	$ 23,113,194	$ 22,204,578
Domestic [Member]
Total									16,460,771	13,086,806	10,797,920
International [Member]
Total									10,809,192	10,026,388	11,406,658
Consumables [Member]
Total									20,328,676	16,091,651	12,833,377
Consumables [Member] | Domestic [Member]
Total									14,866,772	11,277,449	8,449,215
Consumables [Member] | International [Member]
Total									5,461,904	4,814,202	4,384,162
Equipment [Member]
Total									6,941,287	7,021,543	9,371,201
Equipment [Member] | Domestic [Member]
Total									1,593,999	1,809,357	2,348,705
Equipment [Member] | International [Member]
Total									$ 5,347,288	$ 5,212,186	$ 7,022,496

Segment Reporting (Details Narr

Segment Reporting (Details Narrative)	12 Months Ended
	Jun. 30, 2017Segment
Segment Reporting [Abstract]
Number of operating segment	1

Quarterly Results (unaudited)56

Quarterly Results (unaudited) (Details) - USD ($)	3 Months Ended								12 Months Ended
	Jun. 30, 2017	Mar. 31, 2017	Dec. 31, 2016	Sep. 30, 2016	Jun. 30, 2016	Mar. 31, 2016	Dec. 31, 2015	Sep. 30, 2015	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2015
Quarterly Financial Information Disclosure [Abstract]
Net sales	$ 7,890,195	$ 7,177,763	$ 6,030,380	$ 6,171,625	$ 6,396,707	$ 5,426,147	$ 6,039,355	$ 5,250,985	$ 27,269,963	$ 23,113,194	$ 22,204,578
Cost of goods sold	2,374,661	2,112,099	1,818,672	1,912,007	2,062,278	1,859,749	1,957,900	1,760,699	8,217,439	7,640,626	7,280,276
Gross profit	5,515,534	5,065,664	4,211,708	4,259,618	4,334,429	3,566,398	4,081,455	3,490,286	19,052,524	15,472,568	14,924,302
Operating expenses:
Selling expenses	4,036,227	3,587,859	3,271,134	3,325,687	3,665,609	3,319,385	2,991,687	2,656,280	14,220,907	12,632,961	9,062,695
General and administrative expenses	3,091,004	2,484,962	2,087,419	1,931,821	1,834,947	1,515,559	1,675,090	1,803,920	9,595,206	6,829,516	5,983,623
Research and development expenses	439,186	465,863	440,364	492,084	499,139	548,278	392,068	399,994	1,837,497	1,839,479	1,592,923
Total operating expenses	7,566,417	6,538,684	5,798,917	5,749,592	5,999,695	5,383,222	5,058,845	4,860,194	25,653,610	21,301,956	16,639,241
Loss from operations	(2,050,883)	(1,473,020)	(1,587,209)	(1,489,974)	(1,665,266)	(1,816,824)	(977,390)	(1,369,908)	(6,601,086)	(5,829,388)	(1,714,939)
Other income/(expense):
Interest income	19	18	19	19	18	19	25	19	75	81	75
Royalty income and license fees	925,259	953,235	949,048	944,068	979,200	963,025	1,018,362	988,170	3,771,610	3,948,757	4,256,321
Other	(20,635)	(6,940)	(6,640)	(1,996)	(4,980)	(5,464)	(5,413)	(6,021)	(36,211)	(21,878)	(22,033)
Total other income	904,643	946,313	942,427	942,091	974,238	957,580	1,012,974	982,168	3,735,474	3,926,960	4,234,363
(Loss) from continuing operations before income taxes	(1,146,240)	(526,707)	(644,782)	(547,883)	(691,028)	(859,244)	35,584	(387,740)	(2,865,612)	(1,902,428)	2,519,424
Income tax (benefit)	(747,808)	(219,000)	(30,000)	(26,000)	(251,351)	(15,000)	(139,000)	(168,000)	(1,022,808)	(573,351)	(2,784,632)
Net (loss) from continuing operations	(398,432)	(307,707)	(614,782)	(521,883)	(439,677)	(844,244)	174,584	(219,740)	(1,842,804)	(1,329,077)	5,304,056
Discontinued operations:
Net income (loss) from discontinued operations net of income tax expense of $0,$0, $0 and $88,375, respectively	(236)	161,861			(8,069)	165,000			161,625	156,931
Net income from discontinued operations	(236)	161,861			(8,069)	165,000			161,625	156,931	267,115
Net (loss)	$ (398,668)	$ (145,846)	$ (614,782)	$ (521,883)	$ (447,746)	$ (679,244)	$ 174,584	$ (219,740)	$ (1,681,179)	$ (1,172,146)	$ 5,571,171
Net (loss) per share from continuing operations - Basic (in dollars per share)	$ (0.05)	$ (0.04)	$ (0.07)	$ (0.07)	$ (0.06)	$ (0.11)	$ 0.02	$ (0.03)	$ (0.22)	$ (0.17)	$ 0.7
Net income per share from discontinued operations - Basic (in dollars per share)		0.02				0.02			0.02	0.02	0.04
Net (loss) per share - Basic (in dollars per share)	(0.05)	(0.02)	(0.07)	(0.07)	(0.06)	(0.09)	0.02	(0.03)	(0.20)	(0.15)	0.74
Net (loss) per share from continuing operations - Diluted (in dollars per share)	(0.05)	(0.04)	(0.07)	(0.07)	(0.06)	(0.11)	0.02	(0.03)	(0.22)	(0.17)	0.66
Net income per share from discontinued operations - Diluted (in dollars per share)		0.02				0.02			0.02	0.02	0.03
Net (loss) per share - Diluted (in dollars per share)	$ (0.05)	$ (0.02)	$ (0.07)	$ (0.07)	$ (0.06)	$ (0.09)	$ 0.02	$ (0.03)	$ (0.20)	$ (0.15)	$ 0.69

Schedule II (Details)

Schedule II (Details) - USD ($)	12 Months Ended
	Jun. 30, 2017	Jun. 30, 2016		Jun. 30, 2015
Allowance for Doubtful Accounts [Member]
Movement in Valuation Allowances and Reserves [Roll Forward]
Balance at beginning of period	$ 96,868	$ 126,868		$ 136,868
Additions charged (credited) to cost and expenses		(30,000)	[1]	(10,000)	[1]
(Deductions)
Balance at end of period	96,868	96,868		126,868
Deferred Tax Valuation Allowance [Member]
Movement in Valuation Allowances and Reserves [Roll Forward]
Balance at beginning of period	628,730	628,730		6,132,147
Additions charged (credited) to cost and expenses				(1,111,693)
(Deductions)				(4,391,724)	[2]
Balance at end of period	$ 628,730	$ 628,730		$ 628,730
[1]	Reduction in allowance for doubtful accounts due to adjustment in reserve balance.
[2]	Reduction in deferred tax valuation allowance due to reevaluation of deferred tax assets.